Hmm... from a certain standpoint that does make sense. I am of two minds about it. And I do plan to pay off the higher-interest student loans first. The flip side for me is just that being in so much debt makes me nervous. It makes me feel like if something goes wrong, somebody else actually owns the rights to my life and can take away things that are important, or claim my income, or ruin my credit. I suppose if we were debt-free we'd still have that with water bills and stuff, but that's paying for stuff we're using as we use it, so it feels different. If we owned our house free and clear, it wouldn't matter if one of us lost our job--and if I hated my job, I could quit without stressing out about having another one lined up.
Plus, on our current accelerated payment plan, we'd have the house paid off before our kids are in college, which frees up some income for tuition.
I know exactly where you're coming from, and I contemplated getting a 15 yr term mortgage when we refi'd recently. I read several articles that said otherwise, and since it would have been a push for us we went with the 30 year. Anyway, here's a couple that may be of interest to you (and others here).