They should invest their money elsewhere, like new enterprises, instead of homes as rent-seeking is a negative on society, not a productive activity.
Renting property is not rent-seeking. Wielding the power of local government to prevent new housing from being built is rent-seeking.
An example of rent-seeking would be if I were a steel producer and I ask the government to impose a tariff on imported steel.
C.f. also NIMBYism.
2. You have literally just described the stock market.
2. The stock market is exactly people trying to get rich without adding any value to the world.
2. I'm not going to get bogged down refuting bad analogies here.
(I swear, the Kantian Categorical Imperative should be taught in high school just for its entertainment value.)
production - rent = wages + interest
when productivity grows but wages do not, that means the marginal contribution of any new worker is being entirely eaten by various forms of rent within the economy. Those who collect rent have no incentive to do anything but perpetuate their rent collection and most likely if they were to re invest their gains would probably reinvest them in either acquiring more rent or protecting their existing rent... which is why the government should be funded off of monopoly/pigovian taxes like the land value tax, or removing intellectual property deductions from the corp income tax, as opposed to income or consumption taxes - a philosophy known as georgism.