Requirement to Disclose Altered Listing Images - AB 723

California AB 723

Disclosure of Digitally Altered Listing Images

Effective January 1, 2026


1. Overview of the New Law

Effective January 1, 2026, California Assembly Bill 723 requires real estate licensees to clearly disclose when images used in real estate advertising have been digitally altered. The law also requires that the original, unaltered images be made available.

This requirement applies broadly to all advertising and promotional materials, including but not limited to:

  • MLS listings
  • IDX and third-party real estate websites
  • Brokerage and agent websites
  • Email marketing and flyers
  • Social media platforms such as Instagram, Facebook, TikTok, YouTube, and LinkedIn

Any marketing that promotes a listing is covered by this law.

Failure to comply may expose agents and brokers to disciplinary action by state regulators.


2. Who Must Comply

AB 723 applies to:

  • All California licensed real estate brokers and salespersons
  • Any person or vendor acting on behalf of a licensee, including photographers, virtual staging companies, marketing vendors, assistants, and social media managers

Important: If the marketing is done under your listing or your name, you are responsible for compliance.


3. What Is a Digitally Altered Image

A digitally altered image is one that has been changed in a way that modifies, adds, removes, or misrepresents physical features or conditions of the property.

Examples that require disclosure include:

  • Virtual staging or virtual furniture
  • Removal of objects such as cracks, stains, clutter, power lines, utility poles, parked cars, or neighboring structures
  • Changing flooring, countertops, paint colors, walls, or finishes
  • Adding features such as a fire in a fireplace, greenery, skylights, pools, or built-ins
  • Enhancing or altering views seen through windows
  • Modifying exterior elements, landscaping, hardscape, or facade details

If an edit could cause a reasonable buyer to believe the property has features it does not, or lacks features it does have, it should be treated as digitally altered.


4. Edits That Typically Do Not Require Disclosure

The law allows standard photo corrections that do not change the substance or condition of the property, including:

  • Cropping
  • Straightening
  • Brightness and exposure adjustments
  • White balance
  • Color correction
  • Sharpening

If a basic edit crosses into altering the appearance of property features or condition, disclosure is required.

When in doubt, disclose.


5. Required Actions When Using Digitally Altered Images

When a digitally altered image is used, agents must do both of the following:

  1. Provide a clear and reasonably conspicuous disclosure that the image has been digitally altered
  2. Provide access to the original, unaltered image

Both requirements must be satisfied wherever the altered image is used.


6. Compliance by Marketing Channel

A. MLS and IDX

Agents must:

  • Upload both the altered image and the original, unaltered image
  • Use MLS-provided tools or labels that identify digitally altered images where available
  • Confirm that altered images are clearly identified and originals are accessible

Do not assume MLS compliance automatically carries over to all public websites or social platforms.


B. Agent, Team, or Brokerage Websites

  • The disclosure must appear on or immediately adjacent to the altered image
  • The original image must be accessible on the same page or through a clear and obvious link

C. Social Media

Social media is explicitly covered by AB 723.

Best practices include:

  • Placing “Digitally Altered” text directly on the image when possible
  • Including disclosure language in the caption
  • Providing a link or QR code to a publicly accessible page with original images

For Stories and Reels, ensure the disclosure is visible on any frame showing altered visuals.


7. Recommended Ashby & Graff Workflow

Step 1: Identify Altered Images Early

Require photographers or vendors to provide:

  • A folder of original images with only basic corrections
  • A folder of digitally altered images
  • A simple list noting which images were altered and how

Step 2: Organize Files Clearly

Suggested folder structure:

  • Originals
  • Basic Edits (no disclosure required)
  • Digitally Altered (disclosure required)
  • Social Media Exports

Step 3: Publish With Disclosure and Access

  • MLS: Upload originals and altered images and apply MLS disclosure tools
  • Websites and social media: Clearly label altered images and provide a working link or QR code to original images

Original images must be publicly accessible and not behind a password.


Step 4: Pre-Publication Check

Before publishing marketing anywhere, confirm:

  • Altered images are clearly disclosed
  • Original images are accessible
  • Disclosures remain visible after cropping, resizing, or platform compression

8. Approved Disclosure Language

On-Image Label or Watermark

DIGITALLY ALTERED


MLS Photo Description or Remarks

“Some images in this listing have been digitally altered. Original, unaltered images are included in the listing media.”


Social Media Caption

“Some images are digitally altered, including virtual staging. Original, unaltered images are available at: [link].”


Flyers, Print, or Email Marketing

“Digitally altered images used. Scan QR code to view original, unaltered photos.”


9. Enforcement and Risk

AB 723 is enforced under California real estate law. Failure to comply may expose agents to regulatory discipline depending on the severity of the violation.

Potential consequences may include:

  • Fines
  • License discipline
  • Suspension or revocation of license

Ashby & Graff policy is simple: if you are unsure, disclose and provide the original image.


10. Common Questions

Virtual staging requires disclosure and access to original images.

Removing power lines, blemishes, or neighboring features requires disclosure.

Basic color correction and exposure adjustments generally do not require disclosure unless they change the perceived condition or features.

Adding fire to a fireplace, adding TV screens, or enhancing views should be treated as digitally altered and disclosed.

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