Yes it is the same old wish we keep hearing and we know why it is not being done. But I think we can all agree it is one of the most wanted things that community wish for.
And as we saw with the grand master crafting stations, something can be done to this problem. One quick fix would be to raise the furnishing limit for PC side because PC's can handle it. It really is silly that whole ESO community suffers because of the support for older generation consoles. It is perfectly normal that there will come a time when you just need to upgrade your gaming gear to keep up with the game. This is something that most games do, they increase the minimum system requirements because of massive upgrades done to the game. I think it would be a high time that game studio and microsoft made an agreement that the time has come to drop off the older gen. consoles. I know, most likely will not happen but then again I think this is something they must do at some point if they wish to develop the game further and upgrade the visuals and graphics. Why wait.
I do not know how much work this would be or if it is possible at all, everything is possible I like to think, but: How about coming up with a way to let us combine many of the same type of wall elements and other suitable stuff into a one big piece that would count as 1 furnishing item. Or why not bring in bigger models of the existing furnishings. It would really free up some space in furnishing limit if you could build a house or a castle or w/e walls, floor or roof with less pieces. There could also be different clusters of big trees that would count as 1 so if you wish to create a small forest or a garden you could set it up with less. Same goes for grass and flowers and bushes. I know there are already some but make more and use bigger elements. Those major houses feel really empty because we hit the furnishing limit too soon and if I could make a straight long wall with 3 pieces instead using 15, that would really help. Or If I think that "this place needs 2 giant trees and 2 smaller trees packed together" there would be a cluster already available that would only count as 1 item. I think this is something that could be done because we already have really big items that only take 1 spot in furnishing limit.
ESO player housing is actually really good aspect in the game and I must say it is the first game I have played where it really feels like it matters and something you want to invest in. Heavily. But the limit of 700 items even in those gigantic major houses is nowhere near enough, it should be double that. I'd like to think that most ESO players enjoy housing and spent a lot of time with it, I have to say this should be your top priorities when developing the game further. Honest opinion.