Yes, if it is labelled. BCFSA's Artificial Intelligence Guideline says you should label photos or videos that have been altered or enhanced so you do not mislead a buyer, and in 2024 it fined a Kelowna licensee $6,000 for MLS® photos that were digitally altered without disclosure.
One board-level catch: the Rules of Cooperation used by Greater Vancouver, the Fraser Valley and Chilliwack allow only MLS®-approved watermarks on images and no other text. On that MLS®, put the disclosure in the remarks and captions as well, and check with the board before relying on an on-image label alone.
Regulator: BC Financial Services Authority · Association: BC Real Estate Association · MLS / boards: Greater Vancouver, Fraser Valley and Chilliwack boards — Rules of Cooperation (July 2023), Victoria Real Estate Board (no public photo rule)
Governing text: Real Estate Services Rules, B.C. Reg. 209/2021, ss. 34, 41 · BCFSA Artificial Intelligence Guideline (2024) · BCFSA Advertising Guidelines (2021), (e) Photo-enhancing software
Quoted as written, with the source and the day we read it.
“A licensee must not publish real estate advertising that the licensee knows, or reasonably ought to know, contains a false or misleading statement or misrepresentation concerning real estate, a trade in real estate or the provision of real estate services.”
Real Estate Services Rules, B.C. Reg. 209/2021, s. 41 — BC Laws · read September 2, 2026
“While it may be okay to use an AI tool to virtually stage a house, you should label photos or videos that have been altered and enhanced so you do not mislead a potential buyer. Licensees may not create any advertising that is false or misleading – caution and clear labeling is imperative when utilizing AI technology for any kind of marketing.”
Artificial Intelligence Guideline, published 2024-02-22 — BCFSA · read September 2, 2026
“While editing out such items as a garbage can or an automobile parked in a driveway would be acceptable, removing nearby power lines or changing any physical characteristic of a property such that it results in a misrepresentation would not be acceptable.”
Advertising Guidelines, (e) Photo-enhancing Software — BCFSA · read September 2, 2026
“Some forms of false or misleading advertising include digitally altered or enhanced photos and untrue claims about the property such as its size or its contents.”
Consumer Guide to Advertising — BCFSA · read September 2, 2026
“Only MLS® Department-approved watermarks may appear on images. […] Images are to relate only to the real property for sale. No comments or additional information will be permitted to be placed on the image.”
Rules of Cooperation, revised July 17, 2023 (Greater Vancouver, Fraser Valley, Chilliwack), s. 3.25 — Greater Vancouver REALTORS® · read September 2, 2026
“I find that the respondent contravened Rule 34 and Rule 41, by failing to disclose that the photographs of the property advertised on MLS were digitally modified.”
Evans (Re), 2024 BCSRE 59, para. 73 — BCFSA hearing decision, 2024-09-04 · read September 2, 2026
The four things a listing has to get right.
| Disclosure to buyers | RequiredIn practice, enforced under Rules 34 and 41: Evans (Re) found a breach for failing to disclose that MLS® photos were digitally modified, and the disclosure was owed before a buyer made an offer. BCFSA's guideline says label the photos. Source |
|---|---|
| Label on the image | RecommendedBCFSA says you 'should label' altered photos. But the Vancouver-area Rules of Cooperation allow only MLS®-approved watermarks and no other text on images, so on that MLS® the disclosure must also live in the remarks and captions. Ask your board. Source |
| Unaltered original | No specific rule foundNot required by the Rules, the guidelines or the Evans decision. |
| Off-limits alterations | ProhibitedRemoving power lines or 'changing any physical characteristic of a property such that it results in a misrepresentation' (Advertising Guidelines); showing a property in a better state of repair than it is, such as hiding peeling paint (Evans). Source |
Plain words, consistent with the rule above. Sedam Staging writes the same line into the disclosure file that ships with every listing.
Public decisions and reports involving altered or virtually staged listing photos relevant to British Columbia.
Sedam Staging burns the “Virtually staged” label into every listing image, ships the untouched original beside it, compares every render against the photograph so walls, windows, floors and built-ins never move, and writes the remarks line into the download. See the renders we refused →
Section 3.25 of the Rules of Cooperation allows only MLS®-approved watermarks and no other text on images, so the board may reject or strip a labelled photo. Put the disclosure in the public remarks and photo captions as well, and confirm with the MLS® department. Elsewhere in BC the label is what BCFSA recommends.
That failing to disclose digitally modified MLS® photos breaches the duty of reasonable care (Rule 34) and the ban on misleading advertising (Rule 41). The photos showed furniture that was not there and hid peeling, cracked paint. The penalty was $6,000, confirmed on reconsideration.
Removing nearby power lines and changing any physical characteristic of the property in a way that misrepresents it. Removing a garbage can or a parked car is fine.
The same four questions, answered from each regulator's own text. The national layer for Canada →
The clearest rule in Canada: staging allowed, disclosed in the remarks; 'virtual enhancing' banned
SREC's advertising bylaw and a members-only MLS® rulebook
The Real Estate Services Act's ban on deceptive ads, and an unsourced labelling claim
RECO, TRESA, and the PropTx MLS® image rule
OACIQ's AI-image statement and Centris
FCNB, the Real Estate Agents Act, and an unpublished MLS® rulebook
NSAR MLS® Rule 3.20 and NSREC By-law 759
An Act that only asks for the agent's name
The 2019 Act's advertising test and the Superintendent's Code
An Act we could not read, a members-only rulebook, and the national rules
A licence can be pulled for publishing any misrepresentation about a trade
The same Act as the NWT, no board, and the national rules
Listing across the border? The rules in the United States, state by state.
How this page was made. Each quotation was read at the linked source on September 2, 2026; our confidence that it is current and complete is high (two BCFSA guidelines, the consumer guide and a 2024 penalty decision are all primary text; only the Vancouver-area board rulebook is public, and it restricts on-image text). Rules change and boards add policies; the linked documents are the authority, and this is a plain-language summary, not legal advice. Spotted a change? Tell us and we will fix the page.