Would Right to Rent be of Interest to Distressed Homeowners?

The Center for Economic and Policy Research (CEPR) suggests that giving distressed homeowners the right to rent their house at a fair market price may be one of the best ways to address the nation’s foreclosure crisis. Two representatives, Grijalva (NM) and Kaptur (OH), Congress, HR6116 have sponsored a bill that proposes to give such a right (as a month to month tenancy) to foreclosing homeowners of "moderate value homes". It wouldn't require a bailout or cost any taxpayer money.

My questions is this: Do homeowners in distress really want to rent their home from their lender and what kind of tenant would they be? Further, do lenders really want to become landlords and what kind of job would they to? What is considered a moderate value home?  Would homeowner/tenants help to stabilize neighborhoods and stop the decline of property values?

If you would be effected by this bill as owner or lender, I would love the opinion.