N
ew York’s Department of State has cautioned buyers that many real‑estate listings now feature images created by artificial intelligence. Sellers use these photos to make properties look more appealing, but the practice raises serious doubts about accuracy, authenticity and the risk of false advertising. “AI can help buyers visualize a home, but it can also distort or exaggerate what’s actually there,” said Secretary of State Walter Mosley. “Agents should list responsibly, and buyers should stay alert.”
The Division of Licensing prohibits deceptive advertising by licensed professionals. Violations can lead to disciplinary action. A study in the *International Journal of Information Management* found that buyers view AI‑generated images as less authentic and professional, which erodes trust and reduces purchase intent.
To protect themselves, prospective buyers should:
* **Do thorough research** – Start with reputable lenders, agents, inspectors, and other professionals. Take time to evaluate each person’s credentials and reputation.
* **Seek referrals** – Ask friends and family for trusted recommendations.
* **Check the Better Business Bureau** – Look for any complaints against the agent or agency.
* **Verify the agent’s license** – Use the NYS Department of State Public License Search, confirm the phone number listed, and request a photo copy of the state‑issued license.
* **Spot AI‑generated images** – Look for subtle anomalies such as inconsistent lighting, distorted windows, watermarks, blurry backgrounds, or overly perfect shots that hide real imperfections.
* **Avoid early payments** – Never send money, a holding deposit, or personal information before meeting the agent and viewing the property in person. Direct payments to sellers or agents can be unrecoverable.
For additional guidance on spotting scams, visit the NYS Department of State website.