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I agree the mechanical home button should be phased out.
However, such design change will be very dramatic: that is the most used button on the iPhone and people are really used to it.
I don't think there will be a problem by integrating TouchID on the screen. Nonetheless, Im curious about how will Apple solve all the other uses of the Home button, in a way that's still familiar to people and dead easy to do as it is today.
It's such an iconic and vital part of the phone that removing it will be polemic, no matter how clever solution Apple comes with.
It looks good to me. Much more sleek than the 6/6s without the bands across the back. It's not a radical redesign, it rather looks like an evolution of the previous models, but at the same time it's different enough to stand as the new model. My guess is Apple will also tweak the color line to make it look even more different.