UMH Long Put Strategy
UMH (UMH Properties, Inc.), in the Real Estate sector, (REIT - Residential industry), listed on NYSE.
UMH Properties, Inc., which was organized in 1968, is a public equity REIT that owns and operates 124 manufactured home communities containing approximately 23,400 developed homesites. These communities are located in New Jersey, New York, Ohio, Pennsylvania, Tennessee, Indiana, Michigan and Maryland. In addition, the Company owns a portfolio of REIT securities.
UMH (UMH Properties, Inc.) trades in the Real Estate sector, specifically REIT - Residential, with a market capitalization of approximately $1.31B, a trailing P/E of 44.33, a beta of 0.98 versus the broader market, a 52-week range of 13.93-17.44, average daily share volume of 630K, a public-listing history dating back to 1985, approximately 513 full-time employees. These structural characteristics shape how UMH stock options price implied volatility around earnings windows, capital events, and macro-driven sector rotations.
A beta of 0.98 places UMH roughly in line with broader market moves, so the strategy payoff and realized volatility track the index-equivalent baseline. The trailing P/E of 44.33 is on the rich side, which tends to correlate with higher earnings-window IV expansion as the market debates whether forward growth supports the multiple. UMH pays a dividend, which adjusts put-call parity and shifts the ex-dividend pricing across the listed chain.
What is a long put on UMH?
A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration.
Current UMH snapshot
As of May 15, 2026, spot at $14.95, ATM IV 9.50%, IV rank 0.00%, expected move 2.72%. The long put on UMH below is built from the same end-of-day chain, with strikes snapped to listed contracts and premiums pulled from the bid/ask midpoint at a 34-day expiry.
Why this long put structure on UMH specifically: UMH IV at 9.50% is on the cheap side of its 1-year range, which favors premium-buying structures like a UMH long put, with a market-implied 1-standard-deviation move of approximately 2.72% (roughly $0.41 on the underlying). The 34-day window matched to the front-month expiry keeps theta exposure bounded while still capturing the post-snapshot move; longer-dated UMH expiries trade a higher absolute premium for lower per-day decay. Position sizing on UMH should anchor to the underlying notional of $14.95 per share and to the trader's directional view on UMH stock.
UMH long put setup
The UMH long put below is built from the end-of-day chain, with each option leg priced at the bid/ask midpoint of its listed strike. With UMH near $14.95, the first option leg uses a $14.95 strike; additional legs (when the strategy has them) anchor to spot-relative offsets. Premiums come from the bid/ask midpoint on the listed UMH chain at a 34-day expiry; the cross-strike IV skew is reflected directly in the per-leg values rather than approximated. Quantity sizing assumes one contract per option leg (or 100 UMH shares for the stock leg in covered calls and collars).
| Action | Type | Strike / Basis | Premium (est) |
|---|---|---|---|
| Buy 1 | Put | $14.95 | N/A |
UMH long put risk and reward
- Net Premium / Debit
- N/A
- Max Profit (per contract)
- Unbounded
- Max Loss (per contract)
- Unbounded
- Breakeven(s)
- None on modeled curve
- Risk / Reward Ratio
- N/A
Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium.
UMH long put payoff curve
Modeled P&L at expiration across a range of underlying prices for the long put on UMH. Each row is one sampled price point from the computed payoff curve; the full curve uses 200 price points internally before being summarized into 10 rows here.
When traders use long put on UMH
Long puts on UMH hedge an existing long UMH stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying UMH exposure being hedged.
UMH thesis for this long put
The market-implied 1-standard-deviation range for UMH extends from approximately $14.54 on the downside to $15.36 on the upside. A UMH long put expresses a directional view that the underlying closes below the strike minus premium at expiration, frequently sized to hedge an existing long UMH position with one put per 100 shares held. Current UMH IV rank near 0.00% sits in the lower third of its 1-year distribution, where IV often re-expands toward the mean; this favors premium-buying structures and disadvantages premium-selling structures on UMH at 9.50%. As a Real Estate name, UMH options can move on sector-level news flow (peer earnings, regulatory updates, industry-specific macro data) in addition to UMH-specific events.
UMH long put positions are structurally bearish; the modeled P&L assumes European-style exercise at expiration and ignores early assignment, transaction costs, dividends paid before expiry on the stock leg (when present), and the bid-ask spread on the listed chain. UMH positions also carry Real Estate sector concentration risk; news flow inside the sector (peer earnings, regulatory shifts, supply-chain headlines) can move UMH alongside the broader basket even when UMH-specific fundamentals are unchanged. Long-premium structures like a long put on UMH are particularly exposed to IV-crush risk through scheduled events (earnings, FDA decisions, central-bank meetings) where IV typically contracts post-event regardless of the directional outcome. Always rebuild the position from current UMH chain quotes before placing a trade.
Frequently asked questions
- What is a long put on UMH?
- A long put on UMH is the long put strategy applied to UMH (stock). The strategy is structurally bearish: A long put buys downside exposure with a fixed maximum loss equal to the premium paid; profit accrues if the underlying closes below the strike minus premium at expiration. With UMH stock trading near $14.95, the strikes shown on this page are snapped to the nearest listed UMH chain strike and the premiums come straight from the end-of-day bid/ask midpoint.
- How are UMH long put max profit and max loss calculated?
- Max profit equals the strike minus premium times 100 (reached at zero); max loss equals the premium times 100. Breakeven is strike minus premium. For the UMH long put priced from the end-of-day chain at a 30-day expiry (ATM IV 9.50%), the computed maximum profit is unbounded per contract and the computed maximum loss is unbounded per contract. Live intraday quotes will differ as the chain moves through the trading session.
- What is the breakeven for a UMH long put?
- The breakeven for the UMH long put priced on this page is no defined breakeven on the modeled curve at expiration, derived from end-of-day chain premiums. Breakeven is the underlying price at which the strategy's P&L crosses zero ignoring transaction costs and assignment risk. The current UMH market-implied 1-standard-deviation expected move is approximately 2.72%; if the move sits well outside the breakeven distance, the structure's risk-reward becomes correspondingly tighter.
- When should you consider a long put on UMH?
- Long puts on UMH hedge an existing long UMH stock position or express a bearish view with defined risk; position sizing typically scales the put notional to the underlying UMH exposure being hedged.
- How does current UMH implied volatility affect this long put?
- UMH ATM IV is at 9.50% with IV rank near 0.00%, which is on the low end of its 1-year range. Premium-buying structures (long call, long put, debit spreads) are relatively cheap in this regime; premium-selling structures collect less credit per unit risk.