Battlegrounds was the first step towards peace between Alliance and Horde.
Anyway, like I said in my comment. Player housing seldom works, there just isn't enough land for every player to place a house, especially not in WoW. Ultima Online's world was designed with player's placing houses in mind and it still ended up a complete mess with the landscape covered in player housing and land being placed up on ebay.
If implemented, they would end up doing some kind of instanced housing, which kind of defeats the point.