Consolidate your debt:

Refinancing may allow you to consolidate all of those high interest credit cards and other debt into one affordable monthly payment. By doing so, you will reduce your interest and possibly reduce your monthly payments. You may be able to deduct the interest on your federal income taxes.

Decrease your monthly payments:

If the interest rates have decreased since you purchased your home, then it may be advantageous to refinance your home.

Get cash from your existing equity:

As the value of your home increases, you may have the ability to receive equity out of your home. This can be used for many purposes, such as home improvements, college tuition, or other investments.

Fix your interest rate:

Many people initially purchase a home with an adjustable rate mortgage. Each year your payment may increase. To protect against this, an option would be to refinance your loan to a fixed rate mortgage. This would guarantee your payments would remain the same for the remainder of your loan.

Shorten the payoff period for your loan:

By refinancing your mortgage you may be able to reduce the length of time to pay off your loan and own your home outright much earlier than you originally thought. You may save thousands of dollars in interest payments by refinancing to a shorter term loan or entering into a bi-weekly payment plan.