Diminishing Returns

My Pal Lilly, lives in Tucson. She has a horse-property ranch somewhere out of town. She wants to sell it. I set her up with an agent down there and it was a disaster. However, she still wants to sell it. So, she asked me if I would list it. 

No. Not even on a bet. 

Ok, first of all, I don't work in Tucson. I know nothing of the Tucson market. I have sold a few horse properties in my day (even one this year), but that doesn't make me an expert on Tucson horse property. I know what I don't know: and that's how to properly comp, market and sell Lilly's house. 

Of course, Lilly countered these concerns with she'd be willing to put in writing, that she understands all of the above and still wants me to sell the place. She'd take the risk. She'd tell me what to list the house for (which happens to be $150,000 more than the other agents she hired and DO know the Tucson market had listed it for). 

So, no problem.  

Well, actually there are more problems. I would have to pay the Tucson Realtor association dues and become a member there so I could use their MLS. Then there is the 111 mile (each way) commute to take care of the administrative issues that go with selling a house. I mean, I would have to show up once in a while. So, the cost to sell this place already comes with a price tag.

"You will recover this cost when your commission comes in," Lilly countered. 

Ok, here's the real reason. Lilly worked for a real estate brokerage in 1995 and is sure she knows what there's to know about real estate. She's partially right on a lot of her assessments. However, nobody advertises in magazines any more (she was shocked and was in disbelief when I told her this). I am not willing to advertise this place internationally (a frustration she had with another agent who also refused). Lilly wants to see my "marketing plan," and approve it ahead of time. All of this and more is based on her 1995 real estate expectations. 

Laws have changed. Contracts aren't the same. Buyer tastes, concerns and expectations are different. 

Lilly wants a lot of handholding and already declared she plans on micromanaging me or the next agent who comes her way. And dare I say, she'd expect the Friends and Family commission discount to boot.  

None of this I shared with Lilly. I just told her the cost to sell the place has diminishing returns. In this case, the diminishing returns would be my friendship with Lilly. She's better off finding someone who isn't me.