Basic Question about Short Sales.

[James W.]

Hi guys,

Why would an investor hope to get a deal on a short sale?

I understand that the debt may be more than the market price. So the bank would approve a sale at market price. 

But what good is it for an investor to buy at market price?

I hear investors trying to buy short sales 30% below market. And some have done it successfully.

But the question is - why would the owner want to sell so much below market? When he can simply work with a realtor to get market price, may be a tad less. And why would the bank even approve the sale below market?

Thanks.