I am not at all disagreeing with the rule of law part of this...so don’t misunderstand me.
My problem with the whole thing is how it will be used, it will be used as yet another way to get people who never should have bought a house, a free house.
Meanwhile, the rest of us will suffer from the fallout created by this next part of the whole mess.
If the original lien was properly recorded, it will remain in effect until properly released. Although people residing in the homes in question may not be making payments and may indeed not actually know who to make payments to even if they wanted, they do not get a free house. As long as there is an unreleased lien, they do not have a clear title. Can you imagine making payments on a regular basis for 30 years only to find that the company you paid was not the legal owner of the note and can not release the lien. I am afraid the worry about some undeserving person receiving a free home is dwarfed by the prospect of untold numbers of clouded titles which will destroy the real estate market.
Your problem with the whole thing is, like mine, if you pay off your loan for your home (if you still have a loan), can the bank you are paying off the loan, give you clear title at the end. Apparently, in at least some cases, they cannot - so your in good faith payments, the bank thanks you for, be happy with that!