Should-Read: Nisha Chikhale: How would homebuyers respond to a less generous U.S. mortgage interest deduction?: "Jonathan Gruber of the Massachusetts Institute of Technology... http://equitablegrowth.org/equitablog/value-added/how-would-homebuyers-respond-to-a-less-generous-u-s-mortgage-interest-deduction/
...Amalie Jensen of the University of Copenhagen, and Henrik Kleven of the London School of Economics, finds that the mortgage interest deduction in Denmark has no effect on homeownership but does have a meaningful effect on home size and a large effect on borrowing levels...