At some point you may want to consider refinancing your mortgage loan. Homeowners should consider refinancing their mortgage to:

• take advantage of lower interest rates and lower your monthly payment;
• switch mortgage loan types, such as changing from a variable to a fixed interest rate; or
• shorten the term of your mortgage loan.

If interest rates have gone down since you bought your home, you could save money by refinancing to a lower interest rate.  You should also explore refinancing for a shorter term which allows you to pay less interest over the life of the loan and build equity in your home more quickly.

Refinancing is similar to getting the first mortgage on your current home. Refinancing involves getting a new loan and using it to pay off the old mortgage.  Thus, the costs and steps for refinancing will be similar to your original mortgage.

More Information on Mortgage Refinancing

Refinancing from Freddie Mac

Refinancing Your Home from the U.S. Department of Housing and Urban Development

When NOT to Refinance article from BankRate.com

Home Refinancing Basics from Yahoo Personal Finance