I was expecting you to call for elimination of mortgage interest, which seems very politically infeasible. My own:
#3 Replace interest deduction with “house payment” tax credit of 30%, up to a maximum per year of median income of prior year (~$53k, slowly rising). Plus a lifetime maximum of 10 times prior yr median income (~$530k).
For those who pay $1000/month, they’d get a $300/month tax credit for their payment.

It’s important to replace “interest deduction” with some other subsidy, to avoid the distortion of too much debt, too little equity, due to tax advantages of debt. The same rate tax credit is also more equal than a deduction.

In a lot of ways, the Trump administration is entering at Bush January 2004 of the housing bubble. It needs to have slow growth and housing loans weren’t a problem during Obama administration because everybody was acting conservative for a variety of mostly economic reasons. (I say mostly because jobs and wages were down.) But:
1) Jobs and wages are coming back.
2) Rates will need to rise soon and my guess is we will see inflation next year. The commodity and oil have hit bottom in 2015.
3) Wall Street get more aggressive during Republican Administrations. (Sorry it is true.)
4) Tax cuts are not paid for and government debt likely to go up.