The price of housing would drop drastically, coming back to its utility value based on supply and demand only. No more government interference in housing prices.

People could actually save up to buy a house again.

In today's world, it is not possible to "save up" to buy a house. Inflation in housing is moving faster than our paychecks.

In a Bitcoin world, housing prices would be more stable, even slightly deflationary over time against the currency (Bitcoin). Gone will be the concept of borrowing today in order to beat inflation in the future.

Sure, lending will still exist, somewhat. And people will still borrow in order to buy a house. But not nearly as much as they do today. It will be common to save up, because borrowing would make very little sense for the average person. And an average house would be only a few years' salary for the average person. Like it used to be before fiat.