I have 2 1098 forms due to refinancing. There is a question if my loan was paid off or refinanced with different lender. Should I put no it was not paid off or not?

For your 1098 from your original lender, you can indicate that it was 'paid off or refinanced'.

For the 1098 from your new lender, answer NO, that it was not paid off or refinanced.

Here's more info:

https://turbotax.intuit.com/tax-tips/home-ownership/mortgage-refinance-tax-deductions/L2fzA7hg5