Remortgaging From C. Hoare and Co

Why Do People Remortgage Away From C. Hoare and Co?

Clients of C. Hoare and Co tend to be loyal, often banking with the institution for decades or even generations. However, there are sound financial reasons to consider remortgaging elsewhere:

• Premium pricing — As a small, independent private bank, Hoares does not benefit from the same economies of scale as larger lenders. This can result in mortgage rates that are higher than those available from competitors, particularly for straightforward cases.
• Limited product range — Hoares offers a focused range of mortgage products tailored to its clientele. The wider market provides far greater variety in terms of fixed rate periods, tracker options, offset facilities, and repayment flexibility.
• Generational shifts — Younger family members who inherit a Hoares banking relationship may not require the same level of personalised service and may prefer a more digital, cost-effective approach to their mortgage.
• SVR reversion — Once your initial deal period expires, the standard variable rate at a private bank can be particularly uncompetitive compared to the new deal rates available across the market.

Moving your mortgage away from Hoares does not require you to close your broader banking relationship with the bank, although it is worth understanding how the two may be interconnected.

C. Hoare and Co Rates and Standard Variable Rate

C. Hoare and Co does not publish its mortgage rates publicly. Rates are determined individually based on the client's circumstances, the loan-to-value ratio, the property, and the overall banking relationship. This bespoke pricing model means that two clients with similar financial profiles may receive different rates.

The Hoares SVR

When your initial mortgage deal expires, your rate will revert to the bank's standard variable rate. Given the bespoke nature of Hoares' lending, the SVR may not be immediately obvious from your paperwork. Contact the bank directly to confirm your current SVR and calculate the impact on your monthly payments.

Comparing fairly

When assessing whether to leave Hoares, consider the total value of your banking relationship. The bank may provide benefits that are difficult to quantify, such as access to a dedicated private banker, expedited decision-making, or willingness to lend in situations where other banks would not. However, these benefits should be weighed against the tangible cost of a higher mortgage rate over the remaining term of your loan.

For a mortgage of five hundred thousand pounds, even a rate difference of 0.3% equates to roughly one thousand five hundred pounds per year. Over a five-year deal, that amounts to a meaningful sum that could be better deployed elsewhere.

How to Remortgage Away From C. Hoare and Co

Remortgaging from C. Hoare and Co involves the same core steps as any remortgage, though the process may require sensitivity given the long-standing nature of many Hoares relationships:

• Review your current terms — Obtain a clear picture of your existing mortgage, including the outstanding balance, current rate, deal expiry date, and any early repayment charges.
• Define your priorities — Decide what matters most for your next mortgage. Whether it is the lowest rate, maximum flexibility, a long-term fix, or specific features such as offset or interest-only capability.
• Research the market — Either independently or through a broker, explore what rates and products are available from other lenders. Focus on lenders who can accommodate your loan size, property type, and income structure.
• Make your application — Once you have identified a suitable product, submit your application with all supporting documentation. Be prepared for the new lender to carry out their own valuation and credit checks.
• Complete the legal work — A solicitor will manage the transfer of the mortgage charge from Hoares to your new lender. This is a standard legal process that typically takes a few weeks.

It is courteous to inform your Hoares banker of your intentions, and they may respond with an improved retention offer worth considering before you finalise your decision.

Things to Check Before Leaving C. Hoare and Co

Before proceeding with a remortgage away from Hoares, consider these important factors:

Relationship implications

If your banking relationship with Hoares spans multiple products and services, including current accounts, savings, investment management, or trust administration, check whether removing your mortgage could affect the terms or availability of these other services. Some private banks link pricing across products.

Family banking arrangements

Hoares is known for serving families across multiple generations. If your mortgage is part of a broader family banking arrangement, consider whether moving it independently could affect other family members' positions or the overall relationship.

Bespoke terms

Private bank mortgages sometimes include non-standard terms that have been specifically negotiated. These might include unusual repayment structures, the ability to pause payments in certain circumstances, or flexibility that would not be available from a mainstream lender. Ensure you are not giving up something valuable that is difficult to replicate elsewhere.

Trust and company ownership

If your property is held through a trust or company structure, verify that your new lender can accommodate this. Hoares has extensive experience with these arrangements, and not all lenders can replicate their level of expertise in this area.

Minimum banking requirements

Check whether Hoares has minimum deposit or banking requirements that your mortgage helped you meet. Removing the mortgage could potentially affect your eligibility to remain a client if you wish to continue banking with them.

Why a Mortgage Broker Helps When Leaving C. Hoare and Co

Engaging a specialist mortgage broker is highly advisable when remortgaging from a private bank such as C. Hoare and Co:

Navigating the private bank market

A broker with experience in high net worth lending understands the landscape of private banks and specialist lenders. They can identify which institutions offer comparable service levels and features to Hoares, but at a more competitive price point.

Discretion and professionalism

Hoares clients often value discretion, and a reputable broker will handle your case with the same level of confidentiality and professionalism you are accustomed to. They can manage the process quietly and efficiently on your behalf.

Objective comparison

A broker provides an objective view of how your current Hoares deal compares to the wider market. They can quantify the cost difference and help you make a decision based on facts rather than loyalty or inertia.

Handling complex structures

If your property ownership involves trusts, family partnerships, or other complex arrangements, a specialist broker will know exactly which lenders can accommodate these structures and how to present your case effectively.

Retention negotiation

If you ultimately decide to stay with Hoares, having a competitive offer from another lender puts you in a stronger negotiating position. A broker can help you use this information to secure better terms without the need to actually switch.