There is a common misconception that parties re-financing loans do not need attoneys.
First, it is important to understand that the purpose of re-financing a propety is to eliminate your existing loan to presumaly more favoable terms. This is usually because a homeowner seeks a lower interet rate, wants to lock-in a permanent and non-variable rate, or wants to elongate the term of their loan.
While banks do handle the bulk of the paperwork for a re-finanance, the bank's interest may not align directly with your's. A lawyer can help you understand your new loan terms and ensure that the deal you bargained for is consistent with the new mortgage documents.
Finally, when the first loan is paid off through proceedss from the re-finance, it is important that the first loan be released. An attorney can help to ensure that the first loan is satisfactorily discharged.