there are twice as many applicants as spots so yes it does happen. as far as 2 years of research ... are you f- kidding me? who wants to do 1, let alone 2? i don't see a program being wowed unless it's ground breaking stuff. most important is that you're doing something ortho related and seem committed to research. also paying spots are hard to come by. a few places have an unadvertised research spot or house officer spot. HI,patterson, lenox hill to name a few.
if you do a prelim, you may want to consider a place that has ortho res., if you think you can impress them in a month rotation. the surg department is prob desperate enough that they let you rotate off service. with the 80 week surg shouldn't be as bad. worst year of my life.
it would be nice to start a back up residency but i think interviewers would be like WTF. -johnny ringo (yeah orthofixation, i'm still bitter) )