I've spoken with 5 reputable nationwide HML's s far, and all have restrictions around proof of funds for the down payment. 

Confirm that the provider has a pristine reputation (e.g.

I think it might be better to talk to a CPA since you're primarily worried about tax consequences?

Can anyone suggest a good reputable service for this?

You can only find them from reputable wholesalers, reliable brokers, strong networks, then building a team of GCs, or individual tradesmen and long arduous weeks and months of effort.

As a real estate investor, your investments are essentially 'frozen' for a year while many of your expenses still exist.Hope they'll make revisions by considering the consequences on the real estate industry while also accommodating the millions who've lost their jobs. 

Not to worry, buyer love it and you will get a good reputation for bringing great deals to your clients.

Now it's about your reputation, if your a naive person rip for the taking, or one who calls things as they are and has zero patience for BS. 

Proceed with the foreclosure and then see if they contact you once they see there will be consequences. 

I'll start by saying this as a disclaimer:  a real estate agents opinion is NOT an appraisal, and a reputable (and regulated) bank or lender will require an appraisal.