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Virtual staging disclosure rules (2026): California AB 723, MLS rules and state laws

By the Stagella team ·

Virtually staged listing photos must be disclosed. In California, AB 723 (Business and Professions Code §10140.8, in force since January 1, 2026) requires a conspicuous statement on or next to the image saying it was altered, plus a link, URL or QR code to the unaltered original. Wisconsin requires disclosure from January 1, 2027, and MLSs such as CRMLS and SDMLS set where the label and original must go.

California AB 723
In force since Jan 1, 2026
California rentals (AB 2025)
From Jan 1, 2027
Wisconsin Act 69
From Jan 1, 2027
Pending
New York A11635 and S9584, New Jersey A4728
CRMLS rule 11.5.2
Original next to the altered photo; $250 fine after a warning
Last checked
October 26, 2026

Checklist for publishing a virtually staged photo

  1. Stage only movable items. Don’t add, remove or change walls, windows, floors, cabinets, fixtures, paint, landscaping or views.
  2. Label the image, for example “Virtually staged”, on or next to the photo, or in the photo description field if your MLS says so.
  3. Give access to the unaltered original with a link, URL or QR code, and say so in the statement (required in California).
  4. On your own website, show the original too, or link to a public page that clearly identifies it.
  5. Follow your MLS: CRMLS wants the original immediately before or after the staged photo; SDMLS forbids text or watermarks on the photo.
  6. Keep the originals online for as long as the listing and its ads run.

Example statement that covers the California requirement: “Virtually staged. See the original photo at [your link].”

California AB 723 (Business and Professions Code §10140.8)

AB 723 (Chapter 497, Statutes of 2025) took effect on January 1, 2026. It applies to “a real estate broker or salesperson, or person acting on their behalf” who uses a digitally altered image “in an advertisement or other promotional material for the sale of real property.”

  • What to include: “a statement disclosing that the image has been altered and a link to a publicly accessible internet website, URL, or QR code that includes, and clearly identifies, the original, unaltered image.”
  • Where: the statement must be “reasonably conspicuous and located on or adjacent to the image” and say that the unaltered images can be accessed through the link, URL or QR code. The law does not prescribe exact words.
  • Your own website: if you control the site, include the unaltered version in the posting, or link to a public page that clearly identifies it.
  • What counts as altered: using photo editing software or AI “to add, remove, or change elements in the image,” including furniture, fixtures, appliances, flooring, walls, paint color, landscape, facade and views. Virtual staging is covered.
  • What is exempt: “lighting, sharpening, white balance, color correction, angle, straightening, cropping, exposure, or other common photo editing adjustments” that don’t change how the property is represented.
  • Enforcement: the bill digest notes that a willful violation of the Real Estate Law is a crime.

AB 2025 (2026) extends this to rentals. Signed on September 27, 2026 (Chapter 572), it adds Civil Code §1940.11 for rental advertising from January 1, 2027, and excludes leases longer than one year from §10140.8.

MLS rules: CRMLS and San Diego MLS

MLS rules decide where the label and the original go. Two large California MLSs read the same law differently:

CRMLS (rule 11.5.2)SDMLS (rules 7.4.3–7.4.4)
In forceJanuary 1, 2026January 2026
Label“Photo Modified”, “Virtually Staged”, “Digitally Altered”, “AI Altered” or similar, in the photo’s text field“Digitally Altered” in the photo label field
Original photoUploaded and shown immediately before or after the altered photoUploaded to the MLS; its public URL goes in the altered photo’s description field
Text on the photoWatermark not requiredNot allowed: no text, watermarks or embedded disclosure
Not allowedChanging flooring, walls, windows, cabinetry, paint, landscape, facade, fixtures or views (unless the work is done by closing)Text, watermarks, contact information or promotional material on the altered image
PenaltyWarning, then a $250 fineMissing label or original URL: citation and removal

CRMLS also treats virtually emptying a room of furniture that won’t convey as a digital alteration, and does not permit AI-generated landscaping. Other MLSs publish their own rules; check yours before you upload.

Other states

StateStatusWhat it requires
Wisconsin (2025 Act 69)Enacted; in force January 1, 2027Licensees must disclose in all advertising when technology, including AI, adds, removes or changes elements in a way that creates a false or misleading impression. No original-photo link required.
New York (A11635, S9584)Pending in committeeDisclosure on or next to each altered image; S9584 would require saying that furnishings or finishes were digitally added.
New Jersey (A4728)Pending (second reading, October 2026)Bans fundamental alterations; allows adding or removing non-fixed items if disclosed in each ad, with originals on request.

We found no other enacted state statute as of October 26, 2026. Elsewhere, MLS rules and the NAR Code of Ethics still apply.

NAR Code of Ethics: the “true picture” standard

Article 12 requires REALTORS® to “present a true picture in their advertising, marketing, and other representations.” Standard of Practice 12-10 extends this to images and prohibits “use of misleading images.” The Code doesn’t mention virtual staging by name, but an unlabeled staged photo, or one that hides defects, can mislead.

Portals

Zillow’s own buyer-side virtual staging in Showcase listings is “clearly labeled and always paired with the original unaltered photo,” and Zillow says it supports clear disclosure when AI materially alters a listing image.

How Stagella handles disclosure

  • MLS-safe mode is the default: only furniture and decor change.
  • Every export carries a “Virtually staged” label in the listing’s language; virtual renovations are labeled “Virtually renovated”.
  • Each staged image links to a hosted page with the unaltered original, plus a short URL and QR code for your statement.
  • Files include IPTC Digital Source Type metadata that marks them as AI-edited.
  • The label is burned into the image today. MLSs that forbid text on photos, such as SDMLS, need a label-free export with the disclosure in the description field; that export is not available yet.

This page summarizes public rules for general information. It is not legal advice; confirm requirements with your broker or MLS.

Frequently asked questions

Do I have to disclose virtual staging in California?

Yes. Since January 1, 2026, AB 723 requires a statement on or next to the image that it was altered, plus a link, URL or QR code to the unaltered original.

Does removing furniture count as altering a photo?

Yes. AB 723 covers adding, removing or changing elements, including furniture, and CRMLS treats virtually emptying a room as a digital alteration.

Are brightness, color correction and cropping allowed without disclosure?

Yes. AB 723 exempts lighting, sharpening, white balance, color correction, angle, straightening, cropping and exposure adjustments that don’t change how the property is represented.

Can I virtually repaint walls or replace floors in MLS photos?

Not under CRMLS rules unless the work will be completed by closing. Show renovations as clearly labeled concepts, never in place of the real photo.

Sources

  1. California Business and Professions Code §10140.8
  2. AB 723 (2025) bill text and history
  3. AB 2025 (2026) bill text
  4. CRMLS: Digitally Altered Image Guidance FAQs (updated Oct 20, 2026)
  5. SDMLS: Rules and Policy Change Summary, January 2026
  6. Wisconsin 2025 Act 69
  7. New York Assembly A11635
  8. New York Senate S9584
  9. New Jersey A4728
  10. NAR 2026 Code of Ethics and Standards of Practice
  11. Zillow: AI-generated listing photos and why transparency matters (Jul 22, 2026)

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