The transaction was done by two private individuals. The recording is ENTIRELY the choice of those that are involved. Contrary to your self proclaimed right of entitlement, those parties have the choice to record or not record.

The assessors office will decide to assess the property at whatever valuation they feel is of fair value regardless of the recording.

The sale of the home was not on the MLS, the sale will not be used as a comp by some appraiser.

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What it sounds like to me is that it really is not yours or my business on this sale. Try to remember that the seller has every right to sell the home at whatever price they want to sell it at, to whoever they want to sell it at.