It's fair to say the push to modify more mortgages to prevent foreclosures has not worked all that well. It's just too darn hard to qualify and survive the procedural nightmares. So what should the industry try next? Reuters raises some ideas.

There's been lots of talk about "cram downs" already. But perhaps it's now time, especially with a mountain of contested (possibly) foreclosures looming in some states. Many are leery of giving judges such power, even though many already have it for second homes. Bond investors tend to like the idea because it offers a way to deal with second liens and home equity loans in addition to the mortgage.

Westwood Capital's Dan Alpert has suggested another option, a right-to-rent plan in which delinquent borrowers would be able to rent their foreclosed homes for five years. They then would have a chance to buy back their house when their finances stabilize, notes Reuters.

Another idea calls for a government refinance plan that would use Fannie Mae and Freddie Mac to allow troubled homeowners to refinance on better terms, according to Reuters.

In the meantime, it seems like a no-brainer to me that banks should be doing everything they can to induce their existing customers, the ones who are making good on their payments, to refinance. They should make this as easy as prudent. The fees are there, so are the economic benefits. We've been seeing a lot more refinancing activity. But banks still are not fully embracing this opportunity to tap their best customers for more revenue.

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