Oil prices dropped, and your mortgage rate barely budged. Here's why.

Oil fell about 3.5% this week. That usually pulls mortgage rates down because lower energy costs mean less inflation pressure. But today's average rate is sitting at 6.375%, right where it was. The reason: the Fed made it clear they're not cutting rates anytime soon, and that puts a ceiling on how low mortgage rates can go.

What it means for you: rates are stuck in a narrow zone until the Fed changes course, probably not until late this year. If you're waiting for a big drop, you're giving up months of building equity. If you're ready to buy and the payment works, this is the window. The rate you're looking at today is the rate you'll probably see in August.

For informational purposes only, not a commitment to lend. Rates subject to change. Brett Hickman, NMLS 2010859. Equal Housing Lender.