I guess it depends on what state you live in,but why would you do such a thing? If your looking at mortgages and the collapse of 2006 then banks are to fault. The people have to live somewhere and the government can't own these houses. I think its fine to own what you can afford.
No, home-ownership should not be discouraged, because home ownership is a good thing. The vast majority of people's net worths are caught up in their house. Even people who are not otherwise financially responsible can save some money by owning a home because the money is stuck somewhere that people cannot access it.
I think home ownership should be encouraged, owning a home leads to be able to own where you live instead of renting it from someone, I think everyone should strive to become a homeowner because of the freedom and security that comes from it as well as the pride of being a homeowner.
If someone can afford it, then there is no reason for them not to own a home. While renting is great for some people, others really aspire to buy their own home and there are many benefits for it. There are no restrictions like there are for renting, such as redecorating or installing new items.
I think home ownership should be strived for and encouraged, but I think we need to approach this the old way. Instead of taking out giant loans and purchasing houses on credit, do it how they used to. Save your pennies for years, take out a bank loan, and buy that house.