AB 723 Made Simple: New Rules for Real Estate Photos

Modified on Wed, 12 Nov at 2:38 PM


Click Here for Step-by-Step Instructions on "Add/Edit Picture Label" in Paragon

Effective January 1, 2026


California’s Assembly Bill 723 (AB 723) makes sure property photos show what’s real, not something that could mislead buyers. The law doesn’t ban photo editing, it just asks agents to be honest when photos are digitally changed in a meaningful way.


1. Two Types of Photo Edits

No Disclosure Needed – “Photo Enhancements”

You can edit photos to make them look clearer or more professional as long as the property itself doesn’t change.

Allowed edits:

  • Adjust lighting, brightness, or exposure

  • Fix color balance

  • Crop or straighten the image

  • Sharpen or resize the photo

→ Goal: Make it look better, not different.


Disclosure Required – “Digitally Altered”

You must include a disclosure if you use editing tools or AI to change what the property looks like in any real way.

Disclosure needed if you:

  • Add or remove furniture, flooring, or fixtures

  • Change wall color, landscaping, or exterior finishes

  • Alter the background, view, or neighboring properties

  • Use virtual staging or AI images showing things that don’t exist

→ Rule: If it changes the condition or layout — disclose it.


ORIGINAL PHOTO

“Original – Unedited” (day)


DIGITALLY ALTERED

“Digitally Altered – Disclosure Required” 

(dusk)



DIGITALLY ALTERED

“Virtually Staged – Disclosure Required” 

(furnished room)



ORIGINAL PHOTO

“Original – Unedited” (empty room)

ORIGINAL PHOTO

“Original – Unedited” (front aerial)


DIGITALLY ALTERED

“Digitally Altered – Disclosure Required” 

(front aerial)


PHOTO ENHANCEMENT

“Photo Enhancement – No Disclosure Required” 

(sharpened)


ORIGINAL PHOTO

“Original – Unedited” (grainy)


ORIGINAL PHOTO

“Original – Unedited” (dark empty room)

PHOTO ENHANCEMENT

“Photo Enhancement – No Disclosure Required” 

(bright empty room)


PHOTO ENHANCEMENT

“Photo Enhancement – No Disclosure Required” 

(decluttered)


ORIGINAL PHOTO

“Original – Unedited” (cluttered)


EXAMPLE: OPEN HOUSE FLYER

Flyer includes both QR Code to original photos and 

Digitally Altered Photos label


For All Ads (Print + Online):
Clearly state:
“Image has been digitally altered.”

Print Ads (flyers, mailers, magazines):
Add a QR code or link to view the original photo online.


2. How to Disclose Properly

For All Ads (Print + Online):

  • Clearly state:
    “Image has been digitally altered.”


Print Ads (flyers, mailers, magazines):

  • Add a QR code or link to view the original photo online.


Online Ads (MLS, website, social media):

  • Either show a disclosure + link,
    OR

  • Post both images side-by-side:
    ➤ “Original Photo” vs. “Digitally Altered”


3. Best Practices for 2026

For Online Listings:

  • Always upload both original and edited photos.

  • Label them clearly:

    • “Original – Unedited”

    • “Digitally Altered” or “Virtually Staged”

  • Never change structural or permanent features.


For Print Campaigns:

  • Include disclosure text directly on the image.

  • Add a QR code linking to an online gallery of all original photos.


Key Takeaways for Agents


CategoryDetails
Start DateJanuary 1, 2026
Who’s AffectedAll agents, brokers, developers, and marketing teams
Main RuleDisclose if a photo is AI-generated or materially edited
GoalHonest marketing & consumer transparency

Disclaimer

This summary is for general guidance only. For legal advice on how AB 723 affects your business, consult a qualified real estate attorney.



Need Local Assistance

If you have any problems or questions please call SDMLS Rules (858) 373-4011

or email - Rules@sdmls.com

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