Home loan refinance simply involves taking out a new mortgage loan while paying down the existing loan. The refinanced mortgage should always be structured in such a way that the terms of the loan are advantageous relative to the terms of the existing mortgage.In the case of many homeowners today, there are a whole lot of good reasons to refinance a mortgage. If done correctly and under the right conditions, refinancing offers a host of potential benefits, including:* lowing your monthly mortgage payments* saving you money on the total cost of your loan* allowing you to out on some of your home equity for use in paying down other debt – or for paying billsIt is not always a good time to refinance your home loan, however. In most cases, you will want to be able to qualify for a better interest rate than you have on your current mortgage in order consider a refinance. In fact, your ability to get a more favorable mortgage rate should be the central factor in your decision to move forward with refinancing your home loan.Here are 3 steps to the best home refinance; a mortgage rate shopping guide:1. Understand where today’s mortgage rates are in their historical context:The rate for which you qualify today will depend upon two main factors: a. where average rates are today (relative to average rates of the recent past) for the type of loan you want, and, b. your current credit score.Start by having a look online at today’s rates. Get an understanding of where rates are relative to the rates of, say, 3-12 months ago. Also, have a look at where rates they are today relative to that of your existing mortgage loan.2. Do whatever you can to improve your credit score:Unless your FICO score is already at 760 or above (which is considered a premium credit score), you will likely benefit from working to improve your score. Start by running your credit report. Find out if there are any errors on your report. If you find any, get them corrected immediately.3. Submit refinance applications to your current lender and to 3 others:Finally, when you are ready to apply for a mortgage refinance loan, be sure to get a quote from your current mortgage lender. But, do not stop there: apply to at least 3 other lenders, as well. Only by applying to multiple lenders can you hope to find the one that will offer you the lowest rate.Consider these 3 tips as you find for yourself the best home refinance mortgage rates.