Bluerock Homes TrustNYSE: BHM

Bluerock Homes Trust is a single-family residential REIT spun off from Bluerock Residential Growth REIT. The company is currently trading at a substantial discount to its net asset value and valuation multiples compared to other single-family residential REITs. The small size of Bluerock Homes Trust presents a unique investment opportunity, as many institutional investors are unable to invest in the stock.

Bluerock Homes Trust's stock price has dropped by half since its public listing in September 2022, which is unsurprising at a time when the single-family rental market is softening. Despite market challenges, the company comes with good credentials, has a promising market and has been profitable at the operating level in the past. However, its latest operating loss, lack of dividends and some unfavourable market multiples work against it.