A lot of people buy real estate simply to rent it out which provides a decent income stream for people looking for early retirement strategies. Or one can end up buying say a house that they don’t necessarily need at the moment but having the basement as a rental gives them the option to use it as a mortgage helper. There are usually stipulations to renting out though such as you can’t just suddenly increase the rent on a tenant by say $1000 because you want to make more. Why this got me thinking is I saw an example with someone who had a long-term tenant that was paying only about $900 per month which is very cheap.
One day it seemed like the tenant decided to move and so a new tenant needed to be found. Another person was found pretty quickly and because of this change the property owner decided to increase the rate more aligned with the market rates and charged almost $2000 a month now. Imagine that where the only difference in earning double the income was finding a new client per se.
That’s often a decision you can make where you can specifically target those who have the money and just want something that works or those who will haggle the price down as an example. Taking it a step further, you could literally target people from different markets that place more value in what you offer to get more by doing the same work. I guess like here sometimes it’s more about finding the right buyers.