On second thought, I wouldn't be disappointed with instanced housing (though I'd prefer instanced "villages") if there was an option to build or upgrade to make the house larger somehow. With space for many furnishings, much creativity. I like being able to personalize things and really make them unique. (I did hate how in XI we had very little space, and couldn't have anything in the center of the room. )
In XIV I would like an actual house, rather than a little box to live in.
It would really be nice to see crafters making lots of furniture.
I would like to see SE be creative with housing this time around. :3