Foreclosure Moratorium Bad?

I hear the reasonable, soft-spoken voices of experts voice concern that a moratorium on foreclosures will prolong the housing crisis and delay the eventual recovery of the real estate market. They fear it will put the mortgage lenders in a difficult position. (Click on this post's title for a Wall Street Journal article on the subject.)

Just because these lenders forged paperwork when they could not locate the mortgage documents. Just because they attempted to streamline the foreclosure process with a tiny bit of perjury and skipping over a few minor details, like providing proof they owned the mortgages, surely is no reason for Draconian measures?

We all know they own these mortgages, right? Didn't they tell us so? Why should the lenders seeking foreclosures be tied up in red tape just to protect a few million homeowners and property titles for any new purchasers?

Ah, but wait. Wasn't it the mortgage lenders who tied up those mortgages in all that red tape to begin with?