Company: BHM
Filing Date: 2025-04-09
Form Type: 424B3
Source: 0001104659-25-033384
Chunk: 317

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-04-09
Form: 424B3
Chunk 317
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 the sale of, shares in other REITs; |

| · | gain from the sale of a real estate asset (excluding gain from the sale of a debt instrument issued by a “publicly offered REIT” (i.e., a REIT required to file periodic and annual reports with the SEC under the Exchange Act) to the extent not secured by real property or an interest in real property) not held for sale to customers; |

| · | income and gain derived from foreclosure property; |

| · | amounts (other than amounts the determination of which depends in whole or in part on the income or profits of any person) received or accrued as consideration for entering into agreements to make loans secured by mortgages on real property or interests in real property or to purchase or lease real property (including interests in real property and interests in mortgages on real property); and |

Second, in general, at least
95% of our gross income for each taxable year must consist of income that is qualifying income for purposes of the 75% gross income test,
other types of interest and dividends, gain from the sale or disposition of shares or securities, or any combination of these. Cancellation
of indebtedness income (“COD income”) and gross income from our sale of property that we hold primarily for sale to customers
in the ordinary course of business are excluded from both the numerator and the denominator in both gross income tests, but are subject
to a special tax at a rate of 100%. In addition, income and gain from certain “hedging transactions” that we enter into to
hedge indebtedness incurred, or to be incurred, to acquire or carry real estate assets, and that are clearly and timely identified as
such will be excluded from both the numerator and the denominator for purposes of the 75% and 95% gross income tests. Finally, certain
foreign currency gains will be excluded from gross income for purposes of one or both of the gross income tests. See “— Foreign
Currency Gain.” The following paragraphs discuss the specific application of the gross income tests to us.

Rents from Real Property. Rent that we receive, including as a result of our ownership of preferred or common equity interests
in a partnership that owns rental properties, from our real property will qualify as “rents from real property,” which is
qualifying income for purposes of the 75% and 95% gross income tests, only if the following conditions are met:

| · | First, the rent must not be based, in whole or in