Do you know what a "Z sale" is?
"Z sales" are about to become a thing of the past (after October 15, 2012) due to newly revised rules for our local MLS (NTREIS), so you may never run into a "Z sale" again. And in my opinion, it's about time.
When both buyer and seller agreed to not report the sales price of a home, that was a "Z sale." These types of sales are problematic for appraisers and for agents trying to do due diligence when helping sellers arrive at fair listing prices. Instead of a zero amount shown, the last list price is recorded, followed by the letter Z (i.e. $250,000Z).
Because Texas is a non-disclosure state, the purchase price of a home is not shown on the Deed of Trust. Disclosure is not a legislative requirement. On our deeds of trust, you'll find "$10 and other consideration" instead of the actual sales price. But MLS, a private subscription service that does not publicly distribute information to third parties, is now about to require participants to report all sales information, including the sales prices.
The "Z" sale was intended initially as an exception, for privacy issues, for high profile government officials, and for celebrities. However, the rate of Z'ed sales rose from 1% in 2005 to over 2% in 2010. In some neighborhoods, the rate was close to 20%.
So, goodbye Z! I'm not sorry to see you go.