Thirty-year-old San Antonio attorney Victor Maasonce clerked for an Omaha attorney who provided flat-fee real estate services to consumers. Not subject to the same restrictions as real estate brokers, Maas is now offering non-litigation real estate services in Texas that by-pass the MLS.

"My dad was a real estate broker and told me that I should be a real estate attorney, and I did," says Maas. "I'm starting my own little shop with an emphasis on real estate practice. I'm here to fill a niche."

According to Maas, the niche he wants to serve is FSBOs, who are about 20 to 30 percent of a large city market like San Antonio.

"My program is good for all homeowners who want to save money, eliminate the commission which is the largest expense in selling a home," says Maas.

For $375, sellers get basic home sales assistance like how to price to sell for the optimal price, preparing the home for curb appeal, and showing them how to best market the home, drafting the sales agreement, and handling the closing.

"They have to do the work," cautions Maas. "They show the house and they negotiate with buyers, and then all I do is really draft the contract and take care of the closing."

For $850, Maas will screen buyers and negotiate contracts as additional services.

"I ask if they (buyers) are preapproved. I don't prequalify them - only mortgage bankers can do that," says Maas, "but all offers come through me and I advise the seller."

Maas offers marketing advice that defies the conventional wisdom of the traditional real estate industry. He doesn't put his sellers' homes in the local MLS to get more exposure. In fact, he's not even a member of an MLS. Instead, he offers advice on how to get the home seen by providing yard signs and newspaper advertising.

He also suggests that comparables be obtained through an appraiser, because appraisers already have access to MLS comparables as well as tax records for solds.

"I recommend my sellers get a professional appraiser who have access to comps," says Maas. "It's a terrific marketing tool. When buyers want to know, 'How did you arrive at this price?', you can say, 'Here you go.' Most buyers will have to go to a lender, and you have the appraisal to use. You can also check with country records to see what houses are selling for."

Maas says he draws the line at helping sellers determine an asking price.

"I won't do that, that's why I only charge a few hundred dollars," he reasons. "I don't put buyers in my car. This is a good program for someone who wants to save money, because they are shouldering the work."

How does the homeowner find the buyers? Market the home?

"I've got over 70 techniques," says Maas. "I have a professional-looking sign. Don't get a cheap sign, it screams that you are cheap. You can get a better sign for $50. I use directional signs that point toward the house from the beginning of the street. I use flyer boxes - I don't make the flyers for them, but I tell them to go to any public library and type what you want and print and you are done, or get your kids to do it. As samples of what to do to advertise the home, I tell them to advertise in the real estate classifieds on the weekend, have an open house every Sunday from one to four, create a Web page, and put the Web page on the flyer and take pictures of all the rooms.

Maas' business model is being introduced at an interesting time. The Texas state real estate commission is embroiled in a lawsuit with a discount real estate broker who claims that the state's new rule which imposes a minimum standard of service on brokers that must include negotiation services is discriminatory to discount servicers.

At the same time, lawsuits in the state have reached record proportions delivering tremendous gains to litigators. Why would a real estate attorney want to pass up the opportunity to participate in dramatic jury awards to offer non-litigation services at flat fee prices to possibly being named in real estate lawsuits himself?

"Lawyers are exempt from having to obtain a real estate license and brokerage license," explains Maas. "I can't supervise agents or hire agents and be a broker, but I can represent sellers as clients."

"There are no bad guys in this concept. All I am doing is the transaction - the contract. I am liable for the contract. I make it very clear that they (sellers) are responsible for every aspect of liability. The only thing I am assisting them with is the sales transaction. Get the house professionally inspected and appraised before putting it on the market, and tell the truth on the property disclosure. My services are drafting a contract. When I sign a contract, I sign it as an attorney, not an agent."

Maas says he hopes that providing non-litigation services will not only broaden the presence of lawyers in the housing industry, but that consumers will walk away seeing the value of attorneys. Is this a business model that might mushroom?

"My thought is a lot of attorneys may not like it because it is a volume business," observes Maas. "They love those big personal injury cases where they bank millions. I'm not about that. It's a small operation. If I can hire people down the road, I want to service about 400 to 800 a year. I'd like to expand into Austin, Dallas-Fort Worth and Houston."

While Maas is aware that his business model may threaten that of the traditional real estate industry, he says there is also opportunity. Agents have contacted him to get on his list of referral agents, he says, for those sellers who aren't right for his business model.

"Out of town sellers can't show their own properties," he says as an example. "If an agent is on my list, the clients choose, not me. They choose the agent on that side of town and specializes in that area.

He also says he has received a call from agent who would like to know how to go about setting up a consulting business, similar to the services he provides.

Published: December 18, 2002

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Blanche is a renowned author of five real estate books. Her newest, Bubbles, Booms and Busts: Make Money In Any Real Estate Market, McGraw-Hill, was rave-reviewed by The New York Times. She was also selected from hundreds of real estate experts to contribute to Donald Trump's book, Trump: The Best Real Estate Advice I Ever Received: 100 Top Experts Share Their Strategies, Rutledge Hill Press, and is featured on page 68. Order Now Review - Honors In 2006, Blanche was selected among scores of candidates to author two consumer real estate guidebooks for the National Association of Realtors: The NAR Guide to Home Buying, and The NAR Guide to Home Selling, Wiley & Sons. She is currently planning two new books for the NAR and its members.       Known for her keen insight into real estate industry issues and for her ability to make complex subjects easy to understand, Blanche is a sought-after keynote and continuing education speaker. Real estate organizations from MLSs, to brokerages, to franchisors, to associations hire her to provide up-to-the-minute analysis of real estate industry news and advice on how to improve revenues. Her passionate delivery, peppered with stinging wit, is a huge hit with audiences and fans. Don Klein, CEO Greater Nashville Association of Realtors, Blanche Evans, Richard Courtney, president 2007, GRAR "The GNAR membership meeting last week featured Blanche Evans as the keynote speaker. Her comments and insights resonated extremely well with those in attendance and we have had many requests for copies of her PowerPoint Presentation. She was a terrific part of the membership meeting and convention program!" - Don Klein, CEO Greater Nashville Association of Realtors Coverage from WSMV, Nashville - 8-14-2007 That Interview Guy - Get Inside The Head Of Today's Generation 2007 AE Institute Session - To purchase 2006 AE Institute Session - Parts 1 2 3 4 5 6 7 8 9 HouseValues Mastermind call - Parts 1 2 Blanche's fireside chat with Jeremy Conaway, HAR - Click here. For more articles by Blanche, click here.