Were you editing the ini file in My Games\Oblivion?
Yes of course.
I think the problem is the refresh rate of my monitor, that it can only sync at 60Hz, because if I hook up my old CRT and run it at 180Hz, there's no problem at all. Like I said, Fallout 3 works fine without vsync for some reason, but if I turn on vsync in Fallout 3 it starts to mouse-lag in that game as well. This doesn't happen in all games though, some games I
have to use vsync for various reasons, but there's no mouse-lag whatsoever.
I could live with it if only the game were mouse-lagging, but it's in the menu's as well, and Oblivion is inventory-driven and I simply can't hit the buttons with this amount of mouse-lag.