Company: BHM
Filing Date: 2025-11-18
Form Type: S-11/A
Source: 0001104659-25-113674
Chunk: 47

Company: Bluerock Homes Trust, Inc.
Filing Date: 2025-11-18
Form: S-11/A
Chunk 47
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 and renew their leases for substantially all of our revenues. Poor resident selection, defaults, and nonrenewals by our residents may adversely affect our reputation, financial performance, and ability to make distributions to our stockholders.

We depend on rental income
from residents for substantially all of our revenues. As a result, our success depends in large part upon our ability to attract and retain
qualified residents for our properties. Our reputation, financial performance, and ability to make distributions to our stockholders would
be adversely affected if a significant number of our residents fail to meet their lease obligations or fail to renew their leases. For
example, residents may default on rent payments, make unreasonable and repeated demands for service or improvements, make unsupported
or unjustified complaints to regulatory or political authorities, use our properties for illegal purposes, damage or make unauthorized
structural changes to our properties that are not covered by security deposits, refuse to leave the property upon termination of the lease,
engage in domestic violence or similar disturbances, disturb nearby residents with noise, trash, odors, or eyesores, fail to comply with
HOA regulations, sublet to less desirable individuals in violation of our lease, or permit unauthorized persons to live with them. Additionally,
any future outbreaks of infectious disease, which may include COVID-19 or a future pandemic, as well as measures taken by governmental
authorities and private actors to limit the spread or mitigate the impact thereof, may interfere with the ability of some of our residents
to meet their lease obligations and make their rent payments on time or at all. In such event, jurisdictions and other local and national
authorities may impose restrictions on our ability to enforce residents’ contractual rental obligations and/or to increase rents.
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.”

Damage to our properties may
delay re-leasing after eviction, necessitate expensive repairs, or impair the rental income or value of the property resulting in a lower
than expected rate of return. Increases in unemployment levels and other adverse changes in economic conditions in our markets could result
in substantial resident defaults. In the event of a resident default or bankruptcy, we may experience delays in enforcing our rights as
landlord at that property and will incur costs in protecting our investment and re-leasing the property.

Our leases are relatively short-term, exposing us to the risk that we may have to re-lease our properties frequently,