Effective January 1, 2026, California Assembly Bill 723 introduces new disclosure rules for real estate professionals who use digitally altered images in advertising, marketing, or online listings. The new law requires that a clear disclosure be present on or near the image stating that it has been digitally altered. It is also required to provide access to the original, unaltered version of the image when made publicly accessible.
Why This Matters
AB 723 adds Section 10140.8 to the California Business & Professions Code. It applies to licensed real estate brokers and salespersons and those acting on their behalf.
What Counts as a “Digitally Altered Image”?
According to the recently revised California Association of REALTORS® (C.A.R.) Model MLS Rules:
“Digitally altered image” means an image, created by or at the direction of the real estate broker or salesperson, or person acting on their behalf, that has been altered through the use of photo editing software or artificial intelligence to add, remove, or change elements in the image, including, but not limited to, fixtures, furniture, appliances, flooring, walls, paint color, hardscape, landscape, façade, floor plans, and elements outside of, or visible from, the property, including, but not limited to, streetlights, utility poles, views through windows, and neighboring properties. “Digitally altered image” does not include an image where only lighting, sharpening, white balance, color correction, angle, straightening, cropping, exposure, or other common photo editing adjustments are made that do not change the representation of the real property.
How Does this Affect Photograph Requirements in the MLS?
CCAR has been actively reviewing AB 723 and the different ways the MLS can accommodate this new statewide requirement. Our focus is to align MLS workflows and rules with the law while keeping listing input as clear and practical as possible for Participants and Subscribers.
In the coming weeks, the C.A.R. Model MLS Rules that address AB 723 will be reviewed during CCAR’s joint-MLS group meeting with our neighboring East Bay MLSs. This collaborative review will help ensure a consistent regional approach to compliance and member support.
More details will be shared soon, including how to disclose “digitally altered images” within the MLS and the specific MLS Rules that correlate with this requirement. Please watch for additional guidance as we finalize implementation steps ahead of the law’s effective date.
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