Both distressed homeowners and buyers looking for bargains should find short sales more appealing in 2010.

In 2009, short sales, or sales in which the seller's proceeds are less than his outstanding mortgage debt, earned a reputation as being a slow -- and often unsuccessful -- process. After waiting months for lender approval only to hear "no" as an answer, many buyers have left the short-sale process frustrated and no closer to owning a home. Meanwhile, the seller is still stuck with a home he can't afford and may have to face the painful process of foreclosure. In 2010, this problematic process should become much smoother. Lenders and real estate professionals alike are working on ways to streamline the short-sale process. More real estate companies are training their agents to do these specialized sales, and lenders will be more open to processing them.

• Get tips on buying a home through a short sale

• Learn how to sell a home through a short sale

• Find out how to get a great deal on a foreclosed home in FrontDoor's Foreclosure Guide

• Buying or selling a home in 2010? Make it through in one piece with the help of our Real Estate Survival Guide.

NEXT: #8: Appraisal rules will make it tough to close deals >>