There are many reasons to refinance your mortgage, some obvious and some a bit obscure. Some of the situations are complete opposites of one another and will depend on your unique financial goals and/or risk appetite. Here’s a list of some reasons to refinance. To get a Lower Interest Rate: If mortgage rates are lower now than when you took out your mortgage, then this one is the no-brainer. A typical rate-term refinance allows homeowners to reduce their interest rate, so you can enjoy a lower monthly payment. Beware the potential downside of resetting the clock (term) on your mortgage. The term of your mortgage refers to the amount of time it takes to repay the mortgage. You would need to specify that you want to go with your current remaining term. To change the Term of your Mortgage: Or perhaps, you want to change the term of your mortgage. Most mortgages are done over a 30-year repayment period or term. Shortening the repay back term is another common reason t