Christian Tsukamoto and his wife Kaety are trying to find an investment property. 
They've been looking for six months. But now, there's an incentive: low mortgage rates.

"It’s exciting for buyers. It puts us in a better position to buy. A little more flexibility with our price point," Tsukamoto said. 

Mortgage lender company PrimeLending says interest rates dropped drastically in the last week compared to the last 10 years. 
With lower interest rates, a loan on a $400,000 home cost around $120 less this week. 
Financial experts also say your rate could be even better depending on the property and other factors like your credit score. 

"We’re a little encouraged by that, we might start getting a little more aggressive now," Tsukamoto said. 

Tsukamoto bought his first home last July and plans to buy another home on Kauai soon. 

"Less than a year ago was 4.25 percent. My loan officer now say we can get a loan closer to 4 percent, it's looking better now," he said. 

For real estate agents, lower interest rates mean more potential business.

"We’re seeing more visitors to open house, more contracts being generated, it’s actually a good time to buy," Cherie Tsukamoto, broker in charge, Hawaii Life Real Estate Brokers, said. 

Financial experts say the best way to score a good deal is to compare interest rates with different companies and check the discount points,  a cost buyers pay to the lender in exchange for a lower interest rate.