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Overview of the NREC Business Case

National Real Estate Clearinghouse (NREC) is a fictitious company that participates in the residential real estate industry. It is an agent for people who sell houses. NREC maintains a database of houses for sale and makes this information available to a nationwide network of partner real estate agencies. These real estate agencies represent buyers. Real estate agents use NREC to find houses that match buyer requirements. Through prenegotiated contracts with partner real estate agencies, NREC can close sales with fewer costs than a traditional real estate agency.

Figure 6 illustrates how NREC solicits and routes interest directly from a buyer to an agent. To inquire about a house, a buyer calls a toll-free number. NREC records the buyer information and, rather than handling the lead, NREC sends it to an agency in the NREC distribution network.

Figure 6. How NREC Interacts with Buyers, Sellers, and Partners