Company: BHM
Filing Date: 2025-03-28
Form Type: POS AM
Source: 0001104659-25-029225
Chunk: 106

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-03-28
Form: POS AM
Chunk 106
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 taxable income and would no longer be required to distribute most of our taxable income to our stockholders,
which may have adverse consequences on our total return to our stockholders.

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Legislative or other actions affecting REITs could have a negative effect on us or our investors.

There can be no assurance
that any future changes to the U.S. federal income tax laws or regulatory changes will not be proposed or enacted that could impact our
business and financial results. The REIT rules are constantly under review by persons involved in the legislative process and by
the IRS and the U.S. Treasury Department, which may result in revisions to regulations and interpretations in addition to statutory changes.
If enacted, certain of such changes could have an adverse impact on our business and financial results. Stockholders are urged to consult
their tax advisors regarding the effect of potential future changes to the U.S. federal income tax laws on an investment in our stock.

Distributions to tax-exempt investors may be classified as unrelated business taxable income and, in certain circumstances, tax-exempt investors would be required to pay tax on the unrelated business taxable income and to file income tax returns.

Neither ordinary nor capital
gain distributions with respect to our stock nor gain from the sale of stock should generally constitute unrelated business taxable income
to a tax-exempt investor. However, there are certain exceptions to this rule. In particular:

| · | under certain circumstances, part of the income and gain recognized by certain qualified employee pension trusts with respect to our stock may be treated as unrelated business taxable income if our stock is predominately held by qualified employee pension trusts, such that we are a “pension-held” REIT (which we do not expect to be the case); |

| · | part of the income and gain recognized by a tax-exempt investor with respect to our stock would constitute unrelated business taxable income if such investor incurs debt in order to acquire the stock; and |

| · | part or all of the income or gain recognized with respect to our stock held by social clubs, voluntary employee benefit associations, supplemental unemployment benefit trusts and qualified group legal services plans which are exempt from federal income taxation under Sections 501(c)(7), (9), (17) or (20) of the Code may be treated as unrelated business taxable income. |

We encourage you to consult
your tax advisor to determine the tax consequences applicable to you if you are a tax-exempt investor.

RISKS RELATED TO OWNERSHIP OF OUR COMMON