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AI Compliance
New York Compliance Guide

New York AI Listing Image and Real Estate Advertising Rules

New York has not adopted the same altered-image statute used in California, but that does not make misleading AI listing images acceptable.

Last reviewed July 26, 2026 · Primary sources last verified July 26, 2026

New York listing media workspace showing original and virtually staged property imagery
Briefing path
  1. 01 Summary
  2. 02 New York rules
  3. 03 Publishing workflow
  4. 04 Sources

Executive Summary

Quick Answer

New York’s current public framework does not use California’s statewide original-image link or QR-code requirement.

Instead, New York applies existing rules against dishonest, misleading and materially false real estate advertising to AI-generated and manipulated property imagery.

AI may help visualize a property, but an advertisement still needs to describe and represent the property honestly and accurately.

  • 19 NYCRR §175.25 regulates real estate advertising and requires an honest and accurate property description.
  • Real Property Law §441-c permits discipline for dishonest or misleading advertising.
  • General Business Law §§349 and 350 address deceptive practices and false advertising.
  • The New York Department of State’s November 2025 AI-listing warning connects manipulated listing imagery to those existing rules.

A clear label and access to an original image may be a sensible risk-reduction practice, but the official sources reviewed for this guide do not create a universal New York QR-code formula equivalent to California AB 723.

Reading path

Key Takeaways

01

AI staging is not automatically prohibited

New York’s concern is misleading or materially inaccurate advertising.

02

Advertising rules cover sales and leases

Section 175.25(c)(9) applies to property being sold or leased.

03

Broker authority matters

Salespersons and teams generally advertise under broker approval and supervision.

04

No software guarantees compliance

Labeling, original-image retention and final human review remain prudent practices.

Source type: Regulator publication

The New York Department of State’s AI Listing Warning

The Department of State published New York Department of State Issues New Trend Alert Warning Homebuyers of A.I. Generated Home Listings on November 13, 2025.

The warning says AI tools may create misleading or exaggerated representations of properties and raises concerns about accuracy, authenticity, false advertising, consumer trust, images that appear unrealistically perfect, distorted or inconsistent details, and manipulated views or property conditions.

The Department pointed to existing New York licensing and advertising rules rather than announcing a separate California-style image-disclosure statute.

Source type: State regulation

19 NYCRR §175.25: Honest and Accurate Property Advertising

New York’s real estate advertising rule covers promotion and solicitation related to licensed real estate activity across channels including websites, email, mail, telephone, signs, billboards, flyers and electronic advertising.

Section 175.25(c)(9) states that advertisements must include an honest and accurate description of the property to be sold or leased.

The Department of State’s AI warning applies that accuracy expectation to AI-generated and manipulated listing imagery.

Read the current 19 NYCRR §175.25 advertising regulation. The regulation controls over this summary.

Sale and Rental Advertising Are Both Relevant

Unlike California AB 723’s current sale-focused text, New York’s property-advertising rule refers to property being sold or leased.

Listing channels

  • For-sale listings
  • Apartment and rental advertising
  • Brokerage websites
  • Listing portals
  • Virtual tours and property videos

Review variables

  • Advertising channel
  • License status
  • Brokerage relationship
  • Local MLS requirements
  • Facts specific to the image
Source type: State regulation

Broker Authority and Supervision

Section 175.25 generally places property advertising under broker authority. The rule states that only a real estate broker may place or cause publication of advertisements related to the sale or lease of property.

An associate broker, salesperson or team may advertise property represented by their associated broker when the broker has approved the placement. The regulation also subjects salesperson and team websites to supervising-broker authorization and supervision.

  • Which tools are approved.
  • Who may edit listing images.
  • Whether virtual staging is allowed.
  • Which edits require a label.
  • What original files must be retained.
  • Who approves final advertising.
  • How social and portal versions are reviewed.
Source type: State statute

Real Property Law §441-c: Licensing Consequences

New York Real Property Law §441-c authorizes the Department of State to revoke or suspend a broker’s or salesperson’s license, impose a fine or issue a reprimand under the circumstances described in the statute.

The grounds include fraud or fraudulent practices, dishonest or misleading advertising, untrustworthiness, incompetence, and specified violations of New York’s Human Rights Law committed in the licensee’s professional capacity.

Do not assume that saying "AI made the image" transfers responsibility away from the licensee or brokerage.

Source type: State consumer-protection statutes

General Business Law §§349 and 350

General Business Law §349 prohibits unfair, deceptive or abusive acts or practices in business, trade, commerce or services in New York.

General Business Law §350 declares false advertising unlawful.

The Department of State’s AI-listing warning identifies §§349, 350 and 350-a as additional sources relevant to misleading real estate advertising. These consumer-protection provisions are not limited to whether the advertiser holds a real estate license.

New York Does Not Currently Use California’s Original-Image/QR Framework

The official New York sources reviewed for this guide do not establish the same statewide altered-image process found in California Business and Professions Code §10140.8.

New York’s current public framework focuses on honest and accurate property advertising, prohibitions against dishonest or misleading advertising, licensee trustworthiness and competence, and consumer protection against deceptive practices and false advertising.

Do not tell New York agents that they are legally required to use California’s exact QR-code workflow unless a separate applicable rule, MLS policy, brokerage standard or later law requires it. At the same time, the absence of an identical statute is not permission to publish a misleading image.

Image review

What Types of AI Edits Need the Closest Review?

01

Virtual furniture

Review whether the image is labeled, whether furniture changes apparent room size and whether fixtures or structural features changed.

02

Furniture or clutter removal

Do not remove damage, permanent defects, structural elements, utility equipment or material property conditions.

03

Renovation concepts

A conceptual new kitchen, new flooring or finished basement should not be presented as current condition.

04

Exterior and view changes

Changing lawns, facades, neighboring properties, power lines, street conditions or views can materially change buyer perception.

05

Sky, twilight and weather effects

Review whether the final asset remains honest and accurate.

06

AI listing video

Review final video advertising, including simulated motion, generated people, staging and altered source images. Use the AI Listing Video Disclosure Test.

Source type: AIandRealtors.com editorial starting point

Suggested Disclosure Language

The following language is not a New York statutory safe harbor and is not an official Department of State form.

Virtually staged image. Furnishings shown are digital and are not included with the property.

Digitally altered image. View the original, unaltered property photo here: [public link].

AI-generated renovation concept. This image does not show the property’s current condition.

Existing furnishings have been digitally removed and the room has been virtually staged.

A clearer disclosure is better than a vague "enhanced" label when the edit materially changes what consumers see.

  • Confirm the broker-approved wording.
  • Confirm the local MLS rule.
  • Keep the label visible with the asset.
  • Preserve the original.
  • Ensure the final image remains honest and accurate.
  • Do not use disclosure language to excuse a fundamentally misleading edit.

Operational review

Recommended New York Image Workflow

  1. 01Start with the original property capture. Preserve the untouched file.
  2. 02Record every material change. Identify additions, removals and replacements.
  3. 03Separate ordinary correction from property alteration. Do not classify a material change as routine color correction merely because it was easy to make.
  4. 04Check the broker’s advertising policy. Confirm approval before publication.
  5. 05Review the image for accuracy. Ask whether a reasonable consumer could misunderstand room size, layout, condition, fixtures, renovation status, exterior appearance, view, neighboring property or included furnishings.
  6. 06Add a clear label. Use visible wording that describes what changed.
  7. 07Make the original available when practical. New York’s cited framework does not create California’s universal original-image link rule, but preserving and providing the original can improve transparency and dispute resolution.
  8. 08Review the MLS and portal rules. A local MLS may impose requirements beyond state law.
  9. 09Review every distribution channel. Confirm that the label remains visible on brokerage websites, the MLS, portals, social media, email, video and digital ads.
  10. 10Obtain final human approval. The responsible licensee or broker should approve the completed asset.

Fair Housing Still Applies

AI listing content and media must also avoid unlawful housing discrimination.

  • Wording that describes a preferred occupant.
  • Images or generated people suggesting a preferred protected group.
  • Selective audience targeting.
  • Neighborhood descriptions.
  • School or safety claims.
  • Lead-scoring or filtering systems.
  • Inconsistent delivery of housing information.

Use the national AI Compliance for Realtors guide and the forthcoming Fair Housing listing-language guide.

Commercial workflow support

Reviewed Tools That Can Support the Workflow

Affiliate disclosure: Some links in this section may be affiliate links. AIandRealtors.com may earn a commission at no additional cost to the reader. An affiliate relationship does not mean a tool is legally compliant or approved by the New York Department of State.

Listing video and staging review

Reel Estate

Reel Estate combines property-video production, virtual staging and listing-oriented project review.

Its workflow can help identify music, overlays, watermarks, user-added text and staged imagery before an MLS-oriented export is created.

New York advertising-law review, broker approval, MLS verification, disclosure wording and final accuracy review.

Visit ToolFree plan available; use code AIANDREALTORS10 for 10% off any paid plan.
Virtual staging disclaimer support

Collov AI

Collov AI combines virtual staging with broader listing-media features and documents a one-click staging-disclaimer feature.

Useful where a staging workflow needs a visible disclaimer starting point and a broader media-review process.

Determining whether the final image remains honest and accurate, applying broker and MLS rules, preserving originals and choosing appropriate disclosure language.

Visit ToolUse code AIANDREALTORS for 25% off.
AI listing video and effects

Amplifiles

Amplifiles turns listing photos into animated property videos and offers broader creative effects.

Useful for agents reviewing generated movement, effects, staging, creative overlays and video presentation before publishing.

Reviewing generated movement, effects, actors, staging or altered imagery for accuracy and disclosure before publication.

Download the Free Compliance Checklist

Get the AI Listing Marketing Compliance Checklist

Download the printable checklist covering Fair Housing language, altered listing images, state and MLS review, AI video, recordkeeping and final human approval.

Send Me the Free Checklist

FAQ

Frequently Asked Questions

Is AI virtual staging illegal in New York?

Not automatically. The concern is whether the advertisement remains honest, accurate and non-misleading and complies with broker, MLS and other applicable requirements.

Does New York require a QR code for every altered image?

The official New York sources reviewed for this guide do not establish California’s universal original-image/QR-code framework. Check later laws, local MLS rules and brokerage policy before relying on that conclusion.

Does the New York advertising rule apply to rentals?

Yes. Section 175.25(c)(9) addresses the description of property being sold or leased.

Can a salesperson publish an AI listing image without broker approval?

New York’s advertising regulation generally places property advertising under broker authority and requires approval for advertising placed by associated licensees or teams.

Can a disclosure make a misleading image acceptable?

No. A label does not cure an image that materially misrepresents the property.

Should New York agents retain original images?

Original-image retention is a prudent documentation and transparency practice. It may also be required by an MLS or brokerage even though the cited statewide framework does not mirror California’s original-link statute.

Does the Department of State’s 2025 warning create a new statute?

No. It is a regulator warning applying existing advertising, licensing and consumer-protection rules to AI-generated home listings.

Can a software tool guarantee New York compliance?

No. Tools can support review, staging, labeling or separate exports, but the responsible broker and licensee must verify the final advertising.

Verification record

Official and primary sources

Regulator publicationNew York Department of State warning on AI-generated home listingsLast verified July 26, 2026.
State regulation19 NYCRR §175.25, AdvertisingLast verified July 26, 2026.
State statuteNew York Real Property Law §441-cLast verified July 26, 2026.
State consumer-protection statuteNew York General Business Law §349Last verified July 26, 2026.
State false-advertising statuteNew York General Business Law §350Last verified July 26, 2026.

Published commentary

HousingWire did not review or endorse this guide.

Change log

Update History

  • July 26, 2026: Original New York guide published with Department of State AI-listing guidance, advertising regulation, license-discipline framework, consumer-protection sources and reviewed tool links.

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