There were 245 messages waiting Monday morning for Chris Corchiani, the owner of DNJ Mortgage in Cary. That's 10 times the number he normally receives.

Homeowners hoping to consolidate loans, ditch their adjustable rate mortgages for more stable fixed rates or just get a cheaper rate are rushing to take advantage of the lowest rates on home loans in nearly four years.

"Anyone who purchased a home in the last 36 months can benefit" from refinancing, Corchiani said.

Nationally, mortgage refinancing applications have jumped to the highest level since 2004, the Mortgage Bankers Association reported last week.

Applications for refinancing rose 25 percent last week at Coastal Federal Credit Union, which is based in Raleigh, after the Federal Reserve unexpectedly cut interest rates. Spokesman Joe Mecca said the credit union looks for an even greater jump in volume this week -- the Fed is widely expected to cut rates again Wednesday.

Although the Fed's actions don't directly affect mortgage rates -- rates on home loans are typically tied to Treasury notes -- declining interest rates generally lead to cheaper mortgages.

But is now really the right time to refinance? That's a question on many homeowners' minds as mortgage rates decline.

Is this the right time?

* Should you wait for rates to drop lower?

No one knows for sure where rates are heading from here. It's a personal choice whether to wait to see if mortgage rates continue to drop or refinance now. Certainly mortgage lenders, who have seen a national slump in new home loans as the housing market slows, are encouraging people to refinance now and not take the chance that rates might rebound.

* How much lower does the rate have to fall below your current mortgage to make it worth the effort?

There used to be a rule of thumb that the new interest rate had to be at least 1 percentage point less than your current rate for a homeowner to reap any real benefit from refinancing. But mortgage lenders say that even as little as one quarter of a percentage point less can be beneficial.

The best thing to do is call a lender and review the numbers. The longer you plan to keep the property, and the higher the percentage of equity you have in the property, the better you chances of benefiting from refinancing.

* Who should be refinancing?

Nearly every homeowner should at least consider refinancing when the rates are this low, said Amy Bonis, a certified mortgage planner in Raleigh.

"All the lenders across the country should be busy right now," she said.

Some groups, however, would benefit particularly from the low rates. They include people who have two loans on their property, or so-called 80/20 loans, and people with investment property and second homes, adjustable rate mortgages and interest-only loans.

Although some of these homeowners got great deals, they should still consider how much interest they can save over the life of the loan if they refinance, Bonis said.

* Who might not benefit from refinancing?

If a homeowner is planning to move or sell property in the next few years, refinancing may not prove cost-effective. The average cost of refinancing a $250,000 mortgage is about $4,000. If your monthly mortgage payment decreased by $80, it would take a little more than four years to break even.

Most lenders offer several closing cost options. The homeowner can either pay closing costs up front, roll the costs into the loan or pay a slightly higher interest rate and no closing costs.

* Why should you shop around?

If you have a mortgage banker you trust, then use that person. Otherwise, it pays to shop around for the best rates and best deal.

Homeowners should work with someone who can lay out a couple of scenarios for them, and not force them into one loan package. If you feel pressured, talk to another lender.