Maybe it is a bad thing to eliminate the mortgage interest deduction in the short term, but ultimately it is the mortgage interest deduction that is the biggest obstacle to any sort of tax reform involving a flat tax. When asked whether one would support a flat tax with no deductions, most people opposed it because they would lose their mortgage interest deduction. I like the deduction at tax time, but I really don't like it because it is a glaring example of using the tax could for social engineering. It is patently unfair to people who rent who make the same amount of money, and pay the same amount for housing costs, but don't end up with any equity after 40 years, and a gimme for banks who want people in 40-year mortgages so that they are always paying interest.