You may want to refinance if you are interested in paying off high interest rate debt, shortening the length of your repayment term for your mortgage or lowering your monthly mortgage payments.  Conditions in the real estate market during 2007 forced many homeowners to refinance their loans because their adjustable rate mortgage drove their monthly mortgage payments up where they could no longer afford them.  Some lenders offered refinancing deals with no closing costs to enable homeowners to complete this transaction.