Describe the bug
Villagers stop detecting beds using the 1.18+ building height limit, tested it on the release 7.4.7

To Reproduce
Steps to reproduce the behavior:

1. Create any kind of world
2. Go over the old height limit (I tested it on Y= 244 specifically) and place a suitable villager house on there.
3. Spawn a Villager and try to assign them a bed there
4. See error

Version
MCA 7.4.7 & MCA 7.4.8, Minecraft 1.19.2, Forge

Edit: Tested on the most recent MCA version too just in case.

Can't confirm, 1.19.2 Fabric villagers will both naturally select beds as well as use the nearest one at set home.