NexPoint Residential Trust : March 2021 Raymond James Institutional Investors Conference

15 FEBRUARY 2021

NXRT

Q4 2020 BOARD MEETING

Raymond James Institutional Investor Conference| March 2021

Featured Property: The Fairways at San Marcos, located in Chandler, AZ

nxrt.nexpoint.com

CAUTIONARY STATEMENTS

FORWARD LOOKING STATEMENTS

This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are based on management's current expectations, assumptions and beliefs. Forward-looking statements can often be identified by words such as "expect," "anticipate," "estimate," "may," "should," "intend" and similar expressions, and variations or negatives of these words. These forward-looking statements include, but are not limited to, statements regarding NXRT's business and industry in general, the COVID-19 pandemic and its effects on our business, including collections, NXRT's guidance for financial results for the full year 2021 and the related assumptions, NXRT's outlook and strategy for 2021, expected acquisitions and dispositions, net asset value and the related components and assumptions, including estimated value-add expenditures, debt payments, outstanding debt and shares outstanding, guidance for the first quarter 2021 and the related assumptions, planned value-add programs, including projected average rent premium and return on investment. They are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed in any forward-looking statement, including the ultimate geographic spread, duration and severity of the COVID-19 pandemic, and the effectiveness of actions taken, or actions that may be taken, by governmental authorities to contain the outbreak or treat its impact, as well as those described in greater detail in our filings with the Securities and Exchange Commission, particularly those specifically described in our Annual Report on Form 10-K. Readers should not place undue reliance on any forward-looking statements and are encouraged to review the Company's most recent Annual Report on Form 10-K and other filings with the SEC for a more complete discussion of the risks and other factors that could affect any forward-looking statements. The statements made herein speak only as of the date of this release and except as required by law, NXRT does not undertake any obligation to publicly update or revise any forward-looking statements.

NON-GAAP FINANCIAL MEASURES

This presentation contains non-GAAP financial measures. A "non-GAAP financial measure" is defined as a numerical measure of a company's financial performance that excludes or includes amounts so as to be different than the most directly comparable measure calculated and presented in accordance with GAAP in the statements of income, balance sheets or statements of cash flows of the Company. The non-GAAP financial measures used within this presentation are funds from operations attributable to common stockholders ("FFO"), FFO per diluted share, Core FFO, Core FFO per diluted share, AFFO, AFFO per diluted share and net operating income ("NOI"). FFO is defined by the National Association of Real Estate Investment Trusts ("NAREIT"), as net income (loss) computed in accordance with GAAP, excluding gains or losses from real estate dispositions, plus real estate depreciation and amortization. We compute FFO in accordance with NAREIT's definition. Our presentation differs slightly in that we begin with net income (loss) before adjusting for amounts attributable to redeemable noncontrolling interests in the OP and we show the combined amounts attributable to such noncontrolling interests as an adjustment to arrive at FFO attributable to common stockholders. Core FFO makes certain adjustments to FFO, which are either not likely to occur on a regular basis or are otherwise not representative of the ongoing operating performance of our Portfolio. Core FFO adjusts FFO to remove items such as losses on extinguishment of debt and modification costs (includes prepayment penalties and defeasance costs incurred and the write-off of unamortized deferred financing costs and fair market value adjustments of assumed debt related to the retirement of debt and costs incurred in connection with a debt modification that are expensed), casualty-related expenses/recoveries, casualty gains or losses, pandemic expenses, the amortization of deferred financing costs incurred in connection with obtaining short-term debt financing and the noncontrolling interests related to these items. AFFO makes certain adjustments to Core FFO. There is no industry standard definition of AFFO and practice is divergent across the industry. AFFO adjusts Core FFO to remove items such as equity-based compensation expense and the amortization of deferred financing costs incurred in connection with obtaining long-term debt financing, and the noncontrolling interests related to these items. NOI is used by investors and our management to evaluate and compare the performance of our properties to other comparable properties, to determine trends in earnings and to compute the fair value of our properties. NOI is calculated by adjusting net income (loss) to add back (1) interest expense (2) advisory and administrative fees, (3) the impact of depreciation and amortization expenses as well as gains or losses from the sale of operating real estate assets that are included in net income computed in accordance with GAAP, (4) corporate general and administrative expenses, (5) other gains and losses that are specific to us including loss on extinguishment of debt and modification costs, (6) casualty-related expenses/(recoveries) and casualty gains (losses), (7) miscellaneous income derived from recognition of lost rents covered by insurance, (8) pandemic expenses that are not reflective of continuing operations of the properties and (9) property general and administrative expenses that are not reflective of the continuing operations of the properties or are incurred on behalf of the Company at the property for expenses such as legal, professional and franchise tax fees. We define "Same Store NOI" as NOI for our properties that are comparable between periods. We view Same Store NOI as an important measure of the operating performance of our properties because it allows us to compare operating results of properties owned for the entirety of the current and comparable periods and therefore eliminates variations caused by acquisitions or dispositions during the periods. We believe that the use of FFO, Core FFO, AFFO and NOI, combined with the required GAAP presentations, improves the understanding of operating results and debt levels of Real Estate Investment Trusts ("REIT") among investors and makes comparisons of operating results among such companies more meaningful. While FFO, Core FFO, AFFO and NOI are relevant and widely used measures of operating performance of REITs, they do not represent cash flows from operations or net income (loss) as defined by GAAP and should not be considered an alternative to those measures in evaluating our liquidity or operating performance. FFO, Core FFO, AFFO and NOI do not purport to be indicative of cash available to fund our future cash requirements. Our computation of FFO, Core FFO, AFFO and NOI may not be comparable to FFO, Core FFO, AFFO and NOI reported by other REITs. See pages 11 and 12 of this presentation and our Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q for reconciliations of our non-GAAP financial measures.

ADDITIONAL INFORMATION

For additional information, see our filings with the SEC. Our filings with the SEC are available on our website,www.nxrt.nexpoint.com, under the "Investor Relations" tab. Investors are urged to read our Annual Report on Form 10-K and our other filings with the SEC, including our Forms 10-Q and Forms 8-K, in their entirety.

NEXPOINT RESIDENTIAL TRUST, INC [NYSE:NXRT]

COMPANY OVERVIEW

• • Class B Value Add Strategy

• • Assets located in SE and SW United States

• • Focused on relative outperformance through superior SS NOI growth

• • Value add removes asset obsolescence, provides modern amenities and generates green, cost-saving features

• • Workforce housing strategy addresses demand for renovated, affordable housing in America

$41.04

PRICE PER SHARE(1)

$0.34125

Q1 2021 DIVIDEND PER SHARE

12.32%

INSIDER OWNERSHIP(2)

3.33%

YIELD(1)

• (1) AS OF THE CLOSE OF MARKET TRADING FEBRUARY 26, 2021.

• (2) AS OF DECEEMBER 31, 2020.

PORTFOLIO SNAPSHOT

37

PROPERTIES (1)

94.3%

PORTFOLIO OCCUPANCY(1)

14,205

UNITS OWNED(1)

$1,183

AVERAGE MONTHLY

RENT PER UNIT(1)

PERFORMANCE HIGHLIGHTS

FULL YEAR 2020 HIGHLIGHTS

FINANCIAL RESULTS FOR THE YEAR ENDED DECEMBER 31, 2020:

• • Net income: $44.2M

• • NOI: $116.1M

• • Core FFO: $55.5M ,or $2.20/diluted share in line with pre-COVID guidance Same Store Results: FOURTH QUARTER FULL YEAR

•

Occupancy 94.1%

Effective Rents $1,124

Total revenues $45,140

NOI $24,627

•

% of Total Units 89.0%

vs. Q4 2019

-20 bps +1.4% +2.6% -1.8%

89.0% 94.2% $1,047 $122,215 $68,152

vs. FY 2019

-10 bps +1.3% +3.6% +3.2%

NXRT paid dividends totaling $32.6M , or $1.279/sh. During the fourth quarter, the Company increased the quarterly dividend 9.2% to $0.34125/sh.

$55.5M

CORE FFO

$116.1M

NOI

$44.2M

NET INCOME

• • Since inception through 4Q20, NXRT's green initiatives have saved an average of $2.7m/year, provided an average cost savings of 31% and average ROI of 38%

KEY HIGHLIGHTS & TRANSACTIONS COMPLETED IN 2020:

• • During 2020, for the properties in the Portfolio, NXRT completed 1,679 full and partial upgrades, achieving an average monthly rent premium of $131 and a 21.7% ROI.

  • • Since inception, NXRT has completed 5,355 full and partial upgrades and achieved an average monthly rental increase per unit of $101, equating toa 24.5% ROI on all units leased as of December 31, 2020.

• • During 2020, through the ATM offering, NXRT issued approximately 1,278,306 shares at an average price of $46.58 per share for approximately $59.5 million in gross proceeds, which NXRT used to pay down the corporate revolver and fund the acquisition of Fairways at San Marcos.

• • Since inception of the buy back program, NXRT purchased 2.4 million shares at an average price of $25.57, a 36% discount to NAV

• • On November 2, 2020, NXRT closed the acquisition of The Fairways at San Marcos (352 units in Chandler, AZ) for $84.48M.

• • NXRT sold four properties, monetizing attractive gains and improving the Company's portfolio composition (thru tax efficient capital recycling into well-located low-density "covered-land" assets in core markets) in an effort to reduce risk and enhance future earnings potential.

  • • Gross Sales Proceeds: $142.0M

    2019 2018	$47.6M $35.1M	$102.6M $80.2M	$99.4M ($1.6)M
    2017	$30.4M	$76.6M	$53.4M

    STOCK PRICE PERFORMANCE(1)

  • • Levered IRR: 55.7%

  • • Multiple on invested capital: 4.42x

  NXRT Stock Price

  NXRT Stock Price + Accumulated Dividends

  60

  55

  50

  45

  40

  35

  30

  25

  20

  15

  10

  5

  0

  • (1) AS OF CLOSE OF TRADING FEBRUARY 26, 2021.

  • (2) TOTAL RETURN BASED ON CUMULATIVE DIVIDENDS SINCE INCEPTION AND STOCK PRICE AS OF CLOSING OF TRADING FEBRUARY 26, 2021.