Refinancing can also help your shorten the loan identity and you can spend regarding the mortgage at some point Or you can use the the newest financing so you can faucet household equity for home improvements or perhaps to pay back highest-focus costs. Renovations will add to your home well worth, enhancing your owning a home a lot more. 5. Precisely what does your financing look like? Before you choose so you can refinance, you’ll have sensible away from how much you borrowed from on your latest home loan and just how enough time it would get one to pay the balance.