Imagine buying a rental property for $200,000. Over ten years, the property’s value increases to $300,000, and you earn $1,500 monthly in rental income. This long-term investment has provided steady returns and significant appreciation. Now, consider buying a fixer-upper for $150,000, spending $30,000 on renovations, and selling it for $220,000 within six months. The quick sale yields a $40,000 profit. Both scenarios highlight the potential benefits of each investment strategy.

