Compliance guide for real estate professionals
Estate agents and letting agents in Wales must comply with the Estate Agents Act 1979 (estate agents only), the Digital Markets, Competition and Consumers Act 2024 (DMCC Act), and the Committee of Advertising Practice (CAP) Code. Additionally, all residential estate agents must belong to a redress scheme under the Consumers, Estate Agents and Redress Act 2007, and letting agents must be licensed under the Housing (Wales) Act 2014 through Rent Smart Wales, which requires membership in a redress scheme as a licence condition. Both estate agents and letting agents may join the Property Ombudsman (TPO) or the Property Redress Scheme (PRS), and must comply with the applicable Code of Practice.
The Competition and Markets Authority (CMA) and local Trading Standards authorities enforce the DMCC Act, which makes misleading commercial practices, including property marketing, a criminal offence, punishable by a fine and/or up to two years imprisonment.
The National Trading Standards Estate and Letting Agency Team (NTSELAT) enforces the Estate Agents Act 1979, which provides the general regulatory framework for estate agents. While the Act does not specifically address virtual staging, convictions for breaches of the DMCC Act can serve as a "trigger offence" under the Estate Agents Act 1979, allowing NTSELAT to issue warning orders or prohibition orders banning estate agents from practice.
The Advertising Standards Authority (ASA) enforces the CAP Code, which requires all marketing materials to be legal, decent, honest and truthful. While the ASA cannot impose criminal penalties, they can refer non-compliant advertisers to Trading Standards for prosecution under the DMCC Act.
The Rent Smart Wales Code of Practice for Licensed Landlords and Agents requires property marketing materials, including oral, pictorial, and written, are accurate and not misleading.
The Property Ombudsman Code of Practice for Residential Estate Agents and the Code of Practice for Residential Letting Agents require all statements about a property, including oral, pictorial, and written, to be accurate and not misleading. These codes currently reference the Consumer Protection from Unfair Trading Regulations 2008 (CPRs), which were replaced by the DMCC Act on April 6, 2025.
The PRS does not have a formal published Code of Practice like TPO, but members must still comply with all relevant consumer protection legislation, including the DMCC Act.
Misleading property marketing materials can result in criminal prosecution under the DMCC Act, including a fine and/or up to 2 years imprisonment. Convictions can lead to NTSELAT prohibiting estate agents from practising. Letting agents may have their licence revoked.
The DMCC Act and CAP Code require that marketing materials not mislead consumers. Add clear labels such as 'Virtually Staged' or 'Digitally Enhanced Image' to each modified photograph. The label should be visible at all sizes the image might be displayed. Where appropriate, include Welsh language equivalents: 'Dodrefn Rhithwir' or 'Delwedd wedi'i Gwella'n Ddigidol'.
Local Trading Standards authorities in Wales enforce the DMCC Act. Providing original, unedited photographs alongside staged versions demonstrates transparency and reduces the risk of misleading practice allegations. Include them in your property portal galleries.
Welsh properties often feature period characteristics (stone walls, exposed beams, traditional fireplaces). Digitally altering these structural features would likely constitute a misleading practice under the DMCC Act and should be avoided. Stage with furniture that complements the property's character without misrepresenting its condition or style.
All residential estate agents in Wales must belong to a government-approved redress scheme, and letting agents must belong to a redress scheme as a Rent Smart Wales licence condition. If you're a member of The Property Ombudsman (TPO) or Property Redress Scheme (PRS), you must comply with their requirements for honest and accurate property marketing. Virtual staging complaints can result in investigations and sanctions.
Include written disclosure in property particulars (printed and online), on your website, in social media posts, and in portal listings. Consistency across all channels is essential—Trading Standards Wales can investigate any misleading marketing touchpoint.
If using virtual staging for rental property marketing, be aware that Rent Smart Wales regulates letting agents and landlords. Misleading marketing practices can result in licence review. The same disclosure standards apply to sales and lettings.
"Images have been virtually staged to illustrate the property's potential. Furniture and décor shown are digitally rendered and are not included with the property. Please refer to the original photographs for an accurate representation of the property's current condition."
"This property features virtual staging to help you visualise its potential. The furniture shown is digitally added and not physically present. Book a viewing to see the actual space. #VirtualStaging #PropertyMarketing"
"This listing includes virtually staged photographs. Digital furniture and décor have been added to help you visualise the space. These items are not present in the physical property. Unstaged photographs are available upon request."
"VIRTUALLY STAGED – Furniture shown is digitally rendered"
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