I have never sold real estate but I've been in this industry since 1989. If I were a Realtor in the current market I would NEVER list a short sale or foreclosure. Instead I would use all my experience and skills to list properties with well-motivated Homeowners, price the properties to sell quickly, market the heck out of the property to churn my inventory quickly and move on to more and similar listings.
I know a few agents here in New York who do exactly that. Their inventory turns over quickly and they always have listings. They have a lot less stress with their deals because they've set a standard for the kind of listing/seller they'll work with. And they get to commission checks much faster.
I know more than a few agents who have turned "to the Dark Side, Luke!" and listed lots and lots of short sales and REO's. Huge inventory, fewer sales as a percentage of inventory. The variables included in the short sale/REO calculation are too many and unknown. Sellers who don't submit complete short sale packages; bank negotiators who are inflexible when negotiating terms on REO sales; appraisals for Purchasers' mortgage loans that can be short of value or loaded with repair conditions. In short, lots of uncertainty in getting to a closing table and collecting a commission check. But these agents list away. I guess it's good to be independently wealthy.
If I sold real estate, I'd list and sell, list and sell, list and sell all day long. Commission checks trump a big pile of unsold homes.