Company: BHM
Filing Date: 2025-04-07
Form Type: POS AM
Source: 0001104659-25-032524
Chunk: 20

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-04-07
Form: POS AM
Chunk 20
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 higher than we would pay if the transaction was the result of arm’s-length negotiations with a third party. |

| · | Our Manager will have considerable discretion with respect to the terms and timing of our acquisition, disposition and leasing transactions. The incentive fee payable by us to our Manager is determined based on AFFO, which may create an incentive for our Manager to make investments that are risky or more speculative than would otherwise be in our best interests. |

| · | Our Manager and its affiliates, including our officers, some of whom are also our directors, face conflicts of interest caused by their ownership of our Manager and their roles with other programs, which could result in actions that are not in the long-term best interests of our stockholders. |

| · | If the competing demands for the time of our Manager, its affiliates and our officers result in them spending insufficient time on our business, we may miss investment opportunities or have less efficient operations, which could reduce our profitability and result in lower distributions to you. |

We do not have a policy that
expressly restricts any of our directors, officers, stockholders or affiliates, including our Manager and its officers and employees,
from having a pecuniary interest in an investment in or from conducting, for their own account, business activities of the type we conduct.
However, our code of business conduct and ethics contains a conflicts of interest policy that prohibits our directors, officers and personnel,
as well as employees and officers of our Manager and its affiliates who provide services to us, from engaging in any transaction that
involves an actual conflict of interest with us. Notwithstanding the prohibitions in our code of business conduct and ethics, after considering
the relevant facts and circumstances of any actual conflict of interest, the audit committee of our board of directors or another committee
of our board of directors comprised solely of independent directors may, on a case-by-case basis and in their sole discretion, waive such
conflict of interest.

Financing Policy

We intend to use prudent amounts
of leverage in connection with our operations. As of December 31, 2024, our total mortgage indebtedness was approximately $260.6
million, and we had $121.0 million outstanding under our revolving credit facilities. Once we reach sufficient scale, we generally expect
our total indebtedness to be less than 75% of the fair market value of our real estate investments. However, we are not subject to any
limitations on the amount of leverage we may use, and accordingly, the amount of