01/30/2026
Have 7 minutes? This week on the Capital 5th Podcast I explain why homes which have been virtually staged vs traditional staging are at a significant disadvantage.
Under California Assembly Bill 723, starting in 2026, real estate agents who show photos of a home which have been digitally altered using editing software or artificial intelligence, must include a statement disclosing that the image has been altered. This new law states that the disclosure applies to alterations that add, remove, or change elements in the image, including interior fixtures, furniture, appliances, flooring, walls, paint color, hardscape, landscape, facade, floor plans, and exterior features on, or visible from the property. Such as streetlights, utility poles, views through windows, and neighboring properties. The disclosure requirement applies to photos used in online ads, brochures, and other promotional materials. Agents must also provide the original, unaltered version of the photo.
For home buyers this is a welcome change as it’s frustrating for them to commit time and energy to viewing homes which are different in person than they appear in images. It’s challenging for a listing agent to know what aspects of a home are most important to a buyer as a buyer’s personal preferences are just that… personal. I have worked with buyers who have had a rigid set of standards that they do not want to deviate from due to cultural factors. For a home seller and their agent to alter the home’s appearance from reality for the purpose of attracting more home showings, seems unethical.
However, this legislation should also be viewed as an opportunity for home sellers. In episode six of the Capital 5th Podcast I explained why it is so important to have a home properly staged. However, many sellers elect to have their home virtually staged in photographs. This creates a situation where when a prospective buyer likes the photographs and takes time to visit the home, they are frequently disappointed as the house does not appear as it did in the marketing photos. Sellers who are properly staging the home vs virtually staging a home have a significant advantage as the home will be consistent with the prospective buyer’s expectations. If a listing agent is covering the cost of home staging, as I do when I list a home for sale, then the seller benefits. If a listing agent is not covering this cost then a seller must weigh the pros and cons of virtual staging, traditional staging, and a vacant house. By including staging in the list of services which I provide to a seller as part of my listing package, I increase the chances that buyers who visit the home will be impressed with home the home is presented.
Just like choosing the right listing agent matters, so too does the decision of how the seller will present their property to the market.
If you are interested in learning more, please visit:
BenHowardRE.com
New episodes each Friday afternoon.
✅ Listen Here:
https://podcasts.apple.com/us/podcast/capital-5th-podcast/id1810818892
Podcast Website:
https://www.capital5th.com
✅ Past Episode Topics:
Episode 33: What a home buyer can learn from pending sales
Episode 32: Does The Addition Of A Swimming Pool Add Value When A Home Is Sold?
Episode 31 Priorities For Buyers To Start The New Year
Episode 30 Is It Best To Premarket and Sell Your Home Early?
Episode 29 Removing Contingencies With An Offer
Episode 28 Which Home Updates Are Best Before Selling
Episode 27 Selling A Home In The Winter
Episode 26 Fire Inspection Prior To Marketing A Home For Sale
Episode 25 Why a lender can help or hurt your ability to get your offer an accepted and close escrow on time
Episode 24 Why The Appraiser Which Your Bank Hires Matters
Episode 23 A Title Company Almost Cost My Clients $97,000
Episode 22 Seller In Possession
Episode 21 HOA Fees
Episode 20 Mello Roos
Episode 19 Open House Hours
Episode 18 Buyer Opportunities Via Dark Homes
Episode 17 Property Website
Episode 16 Professional Photography & Videography
Episode 15 Real Time Market Data
Episode 14 Estimated Owner Equity Maps
Episode 13 5am To 11pm Realtor Access
Episode 12 Owner Occupied Vs. Not Maps
Episode 11 100,000 People Facebook Ad For Listings
Episode 10 The Fiduciary Standard
Episode 9 House & Window Cleaning
Episode 8 Professional Videography & Matterport 3D Tour
Episode 7 Twilight Photography
Episode 6 Home Staging
Episode 5 Fire Risk & Insurability
Episode 4 Private Off Market Home Listings
Episode 3 Researching Crime Before Purchasing A Home
Episode 2 Inspections Prior To Listing A Home For Sale
Episode 1 Introduction