But there was once liquid water and on earth we have found worm like creatures which survive in ice so the idea that mars couldn't have at least bacterial life (or something like it) isn't that far fetched.
I wish we knew more about how life got started on Earth (at the molecular level). That could give us more clues to the likelihood of life elsewhere.
Mars did have liquid water at one point. Enough to form river beds and canyons. The surface temperature on mars never reaches above the freezing point of water though, so if liquid water existed on mars, what kept it from freezing? My guess is volcanic eruptions and their lava flows kept the temperatures warm enough for liquid water. But, since the atmospheric pressure is too low for water to remain in liquid form, it either turned to ice or vapor. The high altitude water vapors probably left the planet, so if Mars had oceans of water at one point, its all bled off into space now.
So, there are a few interesting questions to ask about mars and life:
If we do find evidence of life on mars, can we prove that it originated on mars? What's to say that a massive asteroid impact on earth didn't send life contaminated rocks to mars?
Could we find DNA or its building blocks on mars? (assuming of course, that all life in the universe has DNA)
In my completely unauthoritative opinion, the chance of there being any sort of life anywhere on mars is probably 1%. Sending a probe to search for that figurative needle in a haystack is probably going to give a 0.0001% of finding that evidence of life. However, I don't think we can completely rule out the possibility of there being life on Mars (problem of induction and all that).