For more than a decade, mortgage rates have shown fairly minimal variation. The average rate has occasionally exceeded 5 percent, but has more often stood in the 4 percent range if not lower. It's a far cry from the 80s and 90s, when the norm was closer to 9 or 10 percent and occasionally exceeded a whopping 18 percent.

But as mortgage rates dip even further, refinancing has gained renewed interest. Julia Carpenter, writing for MarketWatch, says fears about the coronavirus and a slump in the stock market have resulted in a drop in the yield in the 10-year Treasury note and cuts to the Federal Reserve's benchmark rate. This, in turn, caused mortgage rates to fall to their lowest point ever.

According to Freddie Mac, the average rate for a 30-year fixed rate mortgage hit an all-time low of 3.29 percent on March 5 before rising slightly to 3.36 percent on March 12. Homeowners have taken note, with a corresponding surge in refinance mortgage applications.

Does this mean it's a good time to refinance your own mortgage? It all depends on your own personal situation.

In general, you'll want to consider the difference between your current rate and the market rate to determine how much money you can save on your monthly mortgage payment. Refinancing isn't free; you'll need to pay closing costs for steps such as an appraisal, title search, and application fees, and these usually add up to a few thousand dollars. You can then contrast this amount to the closing costs to see how long it will take for the savings to offset the expense. Carpenter says one traditional recommendation advises that refinancing is worth it the break-even point occurs within two years.

You should also consider how many percentage points you can shave off by refinancing. The financial site Investopedia says refinancing makes sense if you can cut your rate by at least two points, but that some lenders recommend doing so even if you can only knock a single point off your rate. Libby Wells, writing for the financial site Bankrate, says even a half-point reduction can be worthwhile.

Refinancing can allow for a more affordable or more efficient monthly payment. If you refinance the remaining balance with a new 30-year term, you'll have the opportunity to cut the amount you owe each month while also ensuring that more of each payment goes toward the principal rather than interest. Investopedia says you might also be able to shorten the term on the remaining balance without significantly affecting your monthly payment.

During a period with low mortgage rates, you might want to refinance to convert your loan from an adjustable rate to a fixed rate. This ensures that you can lock in a more advantageous rate and won't be subject to rate increases in the future.

Refinancing won't work in all situations, though. Paula Pant, writing for the financial site The Balance, says early mortgage payments send a considerable amount of money to interest rather than the principal. If you refinance to renew the loan term, you'll once again be in this situation. This is a more minor concern if you're only a few years into your mortgage. However, if you've been paying off your mortgage for some time, it ensures that you'll be building up equity at a snail's pace.

You should also consider how long you expect to stay in your residence. Carpenter says that if you plan to stay in the home for several years, you'll be more likely to reach the break-even point. If you think you'll be moving within a couple of years, there's a greater possibility that you'll leave the home before the savings from refinancing exceed the closing costs.