As digital marketing continues to play a major role in how rental properties are advertised, transparency and accuracy are becoming increasingly important. Beginning January 1, 2026, CRMLS will implement a new formal rule tied to recent amendments to California Assembly Bill 723 that addresses the use of digitally altered images in real estate listings.
Although this rule primarily applies to listings within the MLS, it directly impacts property owners and property managers who rely on professional photography, virtual staging, or artificial intelligence enhanced images to market rental properties. The update does not introduce radical changes. Instead, it formalizes best practices that responsible professionals already follow.
What the New Rule Requires
Under the new CRMLS rule, any digitally enhanced image included in a listing must be accompanied by the original, unedited version of that same image. The images should be displayed together so viewers can clearly see what has been modified. In addition, the listing must disclose that certain images have been digitally altered.
For property owners, this means greater clarity for prospective tenants and fewer misunderstandings during showings. For property managers, it establishes a consistent standard that supports honest marketing and reduces liability.
What Counts as a Digitally Enhanced Image
A digitally enhanced image is defined as any photo that has been altered using photo editing software or artificial intelligence to add, remove, or change elements within the image. Common examples include virtual staging, adding furniture to vacant units, digitally inserting appliances, modifying landscaping, or altering finishes such as flooring or wall colors.
These tools can be extremely helpful when marketing rental properties, especially vacant units or homes undergoing cosmetic updates. However, transparency is essential so prospective tenants understand what features are real and what has been enhanced for marketing purposes.
Edits That Do Not Require Disclosure
Not all photo edits fall under this rule. Minor aesthetic adjustments that are standard in professional photography do not require disclosure. These include exposure correction, color balancing, sharpening, and minor cropping.
These edits do not materially change the condition or features of a property and are generally considered acceptable enhancements that reflect how a space appears in person.
Penalties and Enforcement Timeline
At this time, there is no penalty for failing to disclose digitally enhanced images. The CRMLS Rules Committee is expected to revisit enforcement and potential penalties in the first quarter of 2026.
Even without penalties in place, adopting these practices now helps property owners and managers stay ahead of future compliance requirements while reinforcing trust with prospective tenants.
Why This Matters for Rental Properties
For renters, accurate images help set realistic expectations and reduce frustration during property tours. When tenants feel confident that a listing reflects reality, they are more likely to move forward with applications and long term occupancy.
For property owners, transparency minimizes disputes, reduces vacancy time, and supports stronger tenant relationships. Honest marketing also protects against claims of misrepresentation, which can lead to unnecessary conflict or legal exposure.
Best Practices for Property Owners and Managers
If there is any uncertainty about whether an image is considered digitally enhanced, it is best to include the original image alongside the edited version. This approach demonstrates professionalism and protects all parties involved.
Although the rule does not take effect until January 1, 2026, property owners and managers are encouraged to adopt these standards now. Early implementation ensures smoother transitions and aligns marketing practices with evolving industry expectations.
Managing Your Property With Confidence
Regulatory updates and marketing standards can feel overwhelming, especially for property owners managing multiple units. At Boutique Property Management, we stay ahead of changes that impact how properties are marketed, leased, and managed so our clients do not have to.
If you have questions about rental marketing, compliance, or professional property management services, contact Boutique Property Management at 818 694 4498, email al***@*************mt.com, or visit boutiquepropmgmt.com to learn how we can help protect your investment and streamline your rental operations.