I would suggest sitting through the following 70 minute AMA webcast about sexual orientation and gender identity.
http://media01.commpartners.com/AMA/sexual_identity_jan_2011/index.htmlIf you don't want to sit through that, I'll try to summarize briefly.
Hormonal changes in utero appear to be the principle cause of altering both gender identity and sexual orientation.
Sexual orientation appears to take fewer regions of the brain to arise than changes in gender identity. So variations in hormonal ratios in utero are more likely to produce am LGB child than a T child. A T child requires more extensive changes to the brain in utero from those that would normally match the brain to body.
However, the same changes that give rise to LGB children are also likely to occur in a T child. The general background population rate of people being lesbian, gay, or bisexual is about 3% (or slightly less). But transgender individuals, who experience a wide range of unexpected brain discrepancies due to hormonal ratio variations in utero are also, because of this, more likely to be LGB in addition to being trans.
TL;DR - Your brain has the typical structure differences that make you trans but your brain also has the typical structure differences that make you a lesbian.
This has not been studied specifically, but I've read articles and my psychiatrist confirmed that this is the working hypothesis for why trans individuals may also more frequently be homosexual or bisexual than the background population rate.