Why should labor be rewarded but not capital? Seems like an arbitrary distinction. Does your family allow anyone to farm and extract value from their land? No? Then they're no different than a landlord.

People mischaracterize the ease in which landlords make money. Take the past two years and eviction moratoriums for example. Landlords in the United States in many areas had to allow tenants to rent without being able to remove them for non-payment.

Landlords inherently have to be well capitalized in order to properly maintain the house as most individuals are not experts in all trades.