On January 30, 2026, industry professionals and market observers began to take stock of the far-reaching implications of a new law in California, designed to address concerns over image manipulation in real estate listings. Assembly Bill 723, which became effective at the start of the year, mandates that all real estate agents and brokers must disclose when property photos have been digitally altered. This marks a significant shift in how properties are marketed, particularly in online listings, where visual appeal has long played a central role in attracting potential buyers.
The law requires that any image modification—whether it involves adding or removing elements, adjusting the background, or altering architectural details—must be accompanied by a clear disclaimer indicating that the photo has been digitally edited. Additionally, the unedited, original version of the photo must be made available alongside the altered image, giving consumers the opportunity to view the property as it was initially captured. This change aims to prevent misleading depictions that could lead to buyer disappointment when viewing a property in person, especially as digital enhancements have become increasingly common in property marketing.
However, not all types of image editing are covered by the new law. Routine modifications such as basic lighting adjustments, cropping, or minor color enhancements are still permitted without the need for special disclosures. The law is focused specifically on significant alterations that could create a misleading impression of a property’s condition or features. For instance, adding a sunset in the background or digitally removing a neighboring building might make a property appear more appealing than it is in reality. Such practices have sparked concerns among consumers and industry experts alike about the trustworthiness of online real estate listings, prompting the need for greater transparency.
The introduction of this law is expected to have a notable impact on real estate practices throughout California and could influence the broader real estate market in other states in the years to come. Real estate agents, brokers, and listing services will need to adopt new procedures for ensuring compliance with the law, which could require additional time and resources to verify that both the edited and original images are properly displayed in listings. It may also change how listings are created, with real estate professionals becoming more cautious about editing images in ways that could be perceived as misleading.
This regulation is expected to influence not only the way properties are marketed, but also consumer expectations in the real estate market. As buyers become accustomed to seeing both the edited and unedited versions of photos, they may develop a higher standard for accuracy in property representations. For many buyers, this law is a step toward a more transparent and trustworthy home-buying process, reducing the likelihood of unpleasant surprises during property tours. The hope is that by fostering greater honesty in online property images, the real estate industry can strengthen consumer confidence and reduce the disconnection between digital representations and the real-world properties they portray.
For real estate agents and brokers, the law brings both challenges and opportunities. While the disclosure requirement may initially increase the complexity of listing preparation, it also offers the opportunity to build stronger, more transparent relationships with clients. Consumers will likely appreciate the clarity that comes with knowing the full story behind the property photos they are viewing. This shift toward transparency could also elevate the professionalism of the real estate industry, aligning it with broader consumer demands for authenticity in marketing.
Looking ahead, the implications of Assembly Bill 723 could stretch beyond California. As the state often sets trends for the rest of the country, it is possible that other states may follow California’s lead in implementing similar disclosure requirements. The success of this law in California could prompt nationwide calls for increased transparency in digital property marketing, especially as the real estate market continues to embrace new technologies and online platforms.
Overall, Assembly Bill 723 represents a key moment in the evolution of property marketing and real estate practices. As the industry adapts to this new regulatory framework, it could mark a turning point in how both buyers and sellers engage with real estate, making the market more transparent and ultimately more trustworthy.
