Notwithstanding a lot of attention, creativity and money, no one has yet to solve the foreclosure crisis engulfing our country. Amidst signs of improvement in other areas (the stock market, the thawing of the credit markets), we see nothing hopeful on the foreclosure front. Arrearages, defaults and foreclosures are continuing at rapid paces, the result being both human costs (people forced out of their homes) and economic loss (declines in housing values).

The Administration...