this post was submitted on 17 May 2026
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A friend of mine who has some money mentioned maybe getting a rental property at some point. I told him I think that's immoral and he didn't understand. He insisted that he would charge below market rate. By his logic, the market rate is like a neutral point for morality and below market rate is morally good. But if you charged above market rate and got a renter...that's just the market rate now. There's no way for him to be immoral by his standards.
I told him I thought that a fair rate was the cost of property management. Basically the cost of maintenance and the administration of the property. It's arguable that the cost of property insurance should be included since a lot of maintenance will be through your insurance. He of course mentioned that wouldn't even cover his mortgage. I told him I don't believe people poorer than you should be buying you an asset. Why don't you get them to contribute to your 401k while your at it.