Company: BHM
Filing Date: 2025-07-08
Form Type: DRS
Source: 0001104659-25-066400
Chunk: 93

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-07-08
Form: DRS
Chunk 93
---
 a waiver or deferral of fees or expense reimbursements otherwise
payable to the Manager or its affiliates, cash resulting from the Manager or its affiliates paying certain of our expenses, proceeds from
the sales of assets, or from our cash balances. Our charter does not prohibit our use of such sources to fund distributions. We may be
required to fund distributions from a combination of some of these sources if our investments fail to perform as anticipated, if expenses
are greater than expected or as a result of numerous other factors. We have not established a cap on the amount of our distributions that
may be paid from any of these sources. Using certain of these sources may result in a liability to us, which would require a future repayment.

The use of the sources described
above for distributions and the ultimate repayment of any liabilities incurred, as well as the payment of distributions in excess of our
FFO, could adversely impact our ability to pay distributions in future periods, decrease the amount of cash we have available for operations
and new investments and reduce your overall return and adversely impact and dilute the value of your investment in shares of our Series B
Redeemable Preferred Stock. To the extent distributions in excess of current and accumulated earnings and profits (i) do not exceed
a stockholder’s adjusted basis in our stock, such distributions will not be taxable to a stockholder, but rather a stockholder’s
adjusted basis in our stock will be reduced; and (ii) exceed a stockholder’s adjusted tax basis in our stock, such distributions
will be included in income as long-term capital gain if the stockholder has held its shares for more than one year and otherwise as short-term
capital gain.

There may not be a broad market for our Class A common stock, which may cause our Class A common stock to trade at a discount and make it difficult for you to sell the Class A common stock for which your Series B Redeemable Preferred Stock may be redeemable at our option.

Our Class A common stock
for which the shares of our Series B Redeemable Preferred Stock may be redeemable at our option trades on the NYSE American under
the symbol “BHM.” Listing on the NYSE American or another national securities exchange does not ensure an actual or active
market for our Class A common stock. The market price of our Class A common stock may fluctuate widely as a result of a number
of factors, many of which are outside of our control. In addition, the stock market is subject to