Is this what I think it is?

[PredatoryCatgirl]

I've been told by several people that there will be a housing item increase-or will there be a backpedal of that?

The current official stance on increasing item level is "we want to do it, and we're looking into it, but no promises". Fans are expecting at least a small increase to interior item count in 7.x though. Exterior, probably not.

Posting as a reminder for the future rage when our community takes one cursory translation and does it's usual "create head cannon based off one quote and then rage when it's not exactly what they created in their heads".

Seconded. For now, lets have some cautious optimism.