Honestly, I'd love to see a mix of what we have now, and instanced housing. I like the neighborhoods (I've made friends, and gained FC members, event started a business, that way!), but the limited availability of housing is a serious problem. I'm thinking:

A) Player choice: Keep the current wards, BUT also have the option of private instanced houses. That way those who enjoy their neighborhoods can keep them, and those who wouldn't otherwise get a house can.

B) Split between individual and FC homes: one in wards, and one private. FCs and individuals competing for the same limited housing just isn't fair.