That perfect Ontario real estate listing might be staged by AI. Here's what to watch for

What would normally cost money and involve a whole lot of moving can now be done with the click of a button. AI staging in real estate is on the rise but is it misleading buyers? The biggest challenge with AI staging is space. So you might take a look and say okay that easily fits a love seat, sofa, coffee table, end tables, lamps, rugs, tv console and then you walk into an empty space you say to yourself wait a second how on earth did all that fit? It's easy to do online, it's different to do in person. There are rules for virtual staging and they fall under the existing rules around advertising. The Real Estate Council of Ontario says advertising must never be false, misleading or deceptive. And in the context of virtual staging, the expectation is that consumers should be able to tell when images are AI generated. That typically involves including a clear disclosure on the image itself or within the property listing. The Ontario Real Estate Association says best practices allow the use of AI to show a home's potential, but cautions strongly against the use of AI to hide or misrepresent facts about a home. For instance, don't put lamps in a room that don't have outlets. You know what I mean? Unless you clearly say there are no outlets there. But again, it comes down to providing the seller the opportunity to sell and the buyer to buy something that they know and they see as being a true reflection of the features of a property while most real estate agents follow the rules some don't and sometimes it's just not clear to the buyer that can lead to disappointment and wasted time at viewings here you have different light fixtures different wall moldings different lighting different space and then when it's totally staged online using AI staging, it does appear that much different. I would argue that the natural light seen in this staged photo versus an unstaged photo might be a little bit misleading to the public. Of course there are some benefits. Industry experts note it's a budget-friendly option to help someone reimagine a space or if a current tenant doesn't want their personal items displayed in a public listing, virtual staging can be used instead. This is a newer technology so experts say that Canadian real estate organizations are still working to determine best practices with the use of AI. So the way that it's regulated and disclosed will likely evolve over time. I think it's a natural progression as AI is something that is being used everywhere now and it's not going to go away. I just think it's going to be used as a tool. I do think the disclosure is a starting point. I think the next step might be even mentioning what tools were being used. Real estate agents say if you're ever unsure whether a listing is using virtual staging or how accurate it is, to ask them before booking a viewing. Talia Ricci, CBC News, Toronto.