27.4 AL – Advertising
Alabama requires real estate advertising to be truthful and not misleading. Licensees may not make false promises or use
misrepresentation to influence a consumer. Ads must also properly identify the advertiser as a licensed broker or salesperson.
General Advertising Rules (Honesty + Identification)
- Licensees must be honest and are prohibited from making false promises that could influence, persuade, or induce a consumer to enter a contract.
- Licensees are prohibited from flagrant misrepresentation in any form of advertising.
- Publishing any advertisement that deceives the public (or is likely to deceive) is against the law.
- All advertisements must identify the advertiser as a licensed broker or salesperson.
Advertising with an Interest (Owner Advertising + Licensee Disclosure)
Property owners are generally exempt from licensing requirements when managing, leasing, selling, or advertising their own property.
But when the owner is also a licensee, the licensee must follow Alabama license law and AREC rules.
- A licensee may advertise property he or she owns (or property owned by a spouse, child, or parent), but must comply with all applicable laws and rules.
- The licensee must provide prior written disclosure of his or her interest in the property to all parties to the transaction.
- The licensee must also disclose that he or she is a licensed real estate salesperson or broker.
- If the licensee is seeking to purchase an interest in property being sold by the licensee’s brokerage company, the licensee must disclose the intention
to the seller or the seller’s agent and disclose that the licensee is licensed and is the intended buyer.
Timing note: The law says the disclosure must be “timely” (it does not give a specific number of days).
Signage (Signs on Property)
- Licensees have the legal right to advertise property using signs affixed to or located on the property.
- Alabama does not allow a municipal corporation or local government to impose a fee or tax on those signs.
- However, local/county/city governments may enforce reasonable restrictions on size, height, and placement of signs on private property
or a public right-of-way.
Team Advertising (Special Rules)
Alabama has specific advertising rules for real estate teams. Team ads must clearly connect the team to the licensed company and include required wording.
- Team advertisements must include the name of at least one team member and the name of the real estate company where the team members are licensed.
- Either the word “team” or “group” must be included in the team name.
- The qualifying broker must give written authorization for the team to include its name in advertisements.
Advertising the Right Way
Choose the best answer for each question, then select Check Answers.
Which statement is TRUE about Alabama real estate advertising?
Alabama prohibits deceptive advertising and requires ads to identify the advertiser as a licensed broker or salesperson.
A licensee advertises a home owned by the licensee’s parent. What must the licensee do?
When a licensee has an interest (including immediate family property), Alabama requires prior written disclosure of the interest and disclosure of license status.
Great job! You have the key points of this topic down.


