Company: BHM
Filing Date: 2025-03-20
Form Type: 424B3
Source: 0001104659-25-026164
Chunk: 117

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-03-20
Form: 424B3
Chunk 117
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 circumstances not entirely within our control may affect our ability
to qualify as a REIT. In order to maintain our qualification as a REIT, we must satisfy a number of requirements, including requirements
regarding the ownership of our common shares, requirements regarding the composition of our assets and requirements that certain percentages
of our gross income in any year must be derived from qualifying sources, such as “rents from real property.” Also, we
must make distributions to stockholders aggregating annually at least 90% of our REIT taxable income, determined without regard to the
dividends paid deduction and excluding net capital gains. In addition, legislation, new regulations, administrative interpretations or
court decisions may materially and adversely affect our investors, our ability to qualify as a REIT for U.S. federal income tax purposes
or the desirability of an investment in a REIT relative to other investments.

In certain circumstances, we may be subject to certain U.S. federal, state and local taxes despite our qualification as a REIT, which would reduce our cash available for distribution to you.

Even
if we maintain our qualification as a REIT, we may be subject to certain U.S. federal, state and local income, property and excise taxes
on our income and assets and, in certain cases, a 100% penalty tax on net income from any “prohibited transaction.” In addition,
any taxable REIT subsidiaries (each a “TRS”) of ours will be subject to U.S. federal income tax, and applicable state and
local taxes, as regular corporations in the jurisdictions in which they operate. We may not be able to make sufficient distributions to
avoid excise taxes applicable to REITs. We may also decide to retain income we earn from the sale or other disposition of our properties
and pay income tax directly on such income. In that event, our stockholders would be treated as if they had earned that income and paid
the tax on it directly, would be eligible to receive a credit or refund of the taxes deemed paid on the income deemed earned, and would
increase the adjusted basis of their shares by the excess of such deemed income over the amount of taxes deemed paid. However, stockholders
that are tax-exempt, such as charities or qualified pension plans, would have no benefit from their deemed payment of such tax liability.
We may also be subject to state and local taxes on our income or property, either directly or at the level of the subsidiaries through
which we indirectly own our