One approach is to gradually increase the rent over time to bring it closer to market value, rather than going for a full $500 jump all at once.

Home values go pretty much to zero, if you don't have water.It's like Earnest Hemingway said about how it happened: first gradually, then suddenly.

As a general rule, many landlords raise rent 3-5% per year, which is a more gradual and manageable increase. 

Quote from @Brienne Metcalf: Something to consider.I don't recommend gradual rent increases, for a couple reasons.1.

Your plan to increase by $200 gradually seems reasonable, and it gives tenants time to adjust.

Invest in property management and gradually transition to financial independence.Good luck!

You can focus on properties that have strong rental potential to generate steady cash flow, helping you pay down the mortgages over time.Once you’ve established a solid cash flow and built equity, you can scale by adding more properties gradually.

Welcome to BP @Cory M.Your approach to starting with a single-family or duplex and gradually scaling up is sound, and focusing on cash flow and maintaining reserves is a prudent strategy.

Gradually, if you are able to make it work, you can explore flipping, owning to rent and other options to build wealth.

Start small and gradually scale up.