Question

1. what does it mean to refinance a mortgage?

a. to renovate the home
b. to default on the original mortgage
c. to sell the property
d. to replace the existing mortgage with a new one, often with better terms

Explanation:

Refinancing a mortgage means replacing the existing mortgage with a new one. This is often done to get better terms like a lower interest rate. Renovating the home (a) is about home improvement, not related to mortgage refinancing. Defaulting on the original mortgage (b) is a negative action of not paying, not refinancing. Selling the property (c) is a different action from refinancing.

Answer:

d. To replace the existing mortgage with a new one, often with better terms