Company: BHM
Filing Date: 2025-03-28
Form Type: POS AM
Source: 0001104659-25-029225
Chunk: 64

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-03-28
Form: POS AM
Chunk 64
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 to raise capital by issuing more stock or
borrowing more money. If we are unable to refinance maturing indebtedness with respect to a particular property and are unable to pay
the same, then the lender may foreclose on such property.

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Volatility in the commercial mortgage-backed securities market could impact the pricing of secured debt.

Volatility in the commercial
mortgage-backed securities market could result in the following adverse effects on our incurrence of secured debt, which could have a
materially negative impact on our financial condition, results of operations, cash flow and cash available for distribution:

| · | higher loan spreads; |

| · | tighter loan covenants; |

| · | reduced loan-to-value ratios and resulting borrower proceeds; and |

| · | higher amortization and reserve requirements. |

Some of our mortgage loans may have “due-on-sale” provisions, which may impact the manner in which we acquire, sell and/or finance our properties.

We may obtain financing with
“due-on-sale” and/or “due-on-encumbrance” clauses when financing our properties. Due-on-sale clauses in mortgages
allow a mortgage lender to demand full repayment of the mortgage loan if the borrower sells the mortgaged property. Similarly, due-on-encumbrance
clauses allow a mortgage lender to demand full repayment if the borrower uses the real estate securing the mortgage loan as security for
another loan. In such event, we may be required to sell our properties on an all-cash basis, which may make it more difficult to sell
the property or reduce the selling price.

Lenders may be able to recover against our other properties under our mortgage loans.

In financing our property
acquisitions, we will seek to obtain secured nonrecourse loans. However, only recourse financing may be available, in which event, in
addition to the property securing the loan, the lender would have the ability to look to our other assets for satisfaction of the debt
if the proceeds from the sale or other disposition of the property securing the loan are insufficient to fully repay it. Also, in order
to facilitate the sale of a property, we may allow the buyer to purchase the property subject to an existing loan whereby we remain responsible
for the debt.

If we are required to make payments under any “bad boy” carve-out guaranties that we may provide in connection with certain mortgages and related loans, our business and financial results could be materially adversely affected.

In