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Doesn't just reduce the cost in money though does it?
Rooms with status rent cost less in terms of cash. For example a luxury room might cost
1) 50 gold per week or
2) 1000 status and 25 gold per week.
(not real prices) Furniture goes toward that status, so if you have furniture, etc. contributing 200 status you only need to pay 800 status and 25 gold for number 2.