New York Warns Homebuyers of Deceptive AI Real Estate Images

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UTICA, N.Y. (WKTV)  Homebuyers and real estate professionals are being warned about the increasing use of artificially generated images in property listings.

The New York Department of State highlighted concerns on Wednesday about the potential for misleading advertising due to these AI-generated images.

Officials said that the automated technology tools may produce misleading or exaggerated representations of properties.

The Department’s Division of Licensing enforces rules to prevent deceptive advertising, requiring all property ads to be honest and accurate.

Violations could lead to disciplinary action and monetary penalties under state law.

A study from the International Journal of Information Management found that consumers often distrust AI-generated images, which can negatively impact trust and purchase intentions.

The Division of Consumer Protection advises homebuyers to research thoroughly, verify real estate professionals’ credentials, and be cautious of AI-manipulated images.

Buyers should report any misleading information to the Department of State for investigation.

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