Company: BHM
Filing Date: 2025-04-09
Form Type: 424B3
Source: 0001104659-25-033384
Chunk: 36

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-04-09
Form: 424B3
Chunk 36
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 geographically concentrated.

Our properties have infrastructure
and appliances of varying ages and conditions. Consequently, we routinely retain independent contractors and trade professionals to perform
physical repair work and are exposed to all of the risks inherent in property renovation and maintenance, including potential cost overruns,
increases in labor and materials costs, delays by contractors in completing work, delays in the timing of receiving necessary work permits,
certificates of occupancy, and poor workmanship. Additionally, containment measures arising from any future outbreaks of infectious disease,
which may include COVID-19 or a future pandemic, may also interfere with the ability of our associates, suppliers, and other business
partners to carry out their assigned tasks or supply materials, services, or funding at ordinary levels of performance relative to the
conduct of our business. See “—Our business, results of operations, financial condition, and cash flows may be adversely affected
by pandemics and outbreaks of infectious disease, which may include COVID-19.” If our assumptions regarding the costs or timing
of renovation and maintenance across our properties prove to be materially inaccurate, our operating results and ability to make distributions
to our stockholders may be adversely affected.

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We have in the past acquired and may from time to time in the future acquire some of our residential properties through the auction process, which could subject us to significant risks that could adversely affect us.

We have in the past acquired
and may from time to time in the future acquire some of our residential properties through the auction process, including auctions of
properties that have been foreclosed upon by third-party lenders. Such auctions may occur simultaneously in a number of markets, including
monthly auctions on the same day of the month in certain markets. As a result, we may only be able to visually inspect properties from
the street and will purchase these properties without a contingency period and in “as is” condition with the risk that unknown
defects in the property may exist. Upon acquiring a new residential property, we may have to evict residents who are in unlawful possession
before we can secure possession and control of the property. The holdover occupants may be the former owners or residents of a property
or others who are illegally in possession. Securing control and possession from these occupants can be both costly and time-consuming
or generate negative publicity for our business and harm our reputation.

Allegations of deficiencies
in auction practices could result in claims challenging the validity of some auctions, potentially placing our claim of ownership to the
properties