diff --git a/src/net/udp/dhcp.c b/src/net/udp/dhcp.c
index 3a3666c9a..4ebd38bbb 100644
--- a/src/net/udp/dhcp.c
+++ b/src/net/udp/dhcp.c
@@ -451,17 +451,6 @@ static void dhcp_discovery_rx ( struct dhcp_session *dhcp,
 static void dhcp_discovery_expired ( struct dhcp_session *dhcp ) {
 	unsigned long elapsed = ( currticks() - dhcp->start );
 
-	/* If link is blocked, defer DHCP discovery (and reset timeout) */
-	if ( netdev_link_blocked ( dhcp->netdev ) &&
-	     ( dhcp->count <= DHCP_DISC_MAX_DEFERRALS ) ) {
-		DBGC ( dhcp, "DHCP %p deferring discovery\n", dhcp );
-		dhcp->start = currticks();
-		start_timer_fixed ( &dhcp->timer,
-				    ( DHCP_DISC_START_TIMEOUT_SEC *
-				      TICKS_PER_SEC ) );
-		return;
-	}
-
 	/* Give up waiting for ProxyDHCP before we reach the failure point */
 	if ( dhcp->offer.s_addr &&
 	     ( elapsed > DHCP_DISC_PROXY_TIMEOUT_SEC * TICKS_PER_SEC ) ) {
@@ -469,8 +458,18 @@ static void dhcp_discovery_expired ( struct dhcp_session *dhcp ) {
 		return;
 	}
 
-	/* Otherwise, retransmit current packet */
+	/* Retransmit current packet */
 	dhcp_tx ( dhcp );
+
+	/* If link is blocked, defer DHCP discovery timeout */
+	if ( netdev_link_blocked ( dhcp->netdev ) &&
+	     ( dhcp->count <= DHCP_DISC_MAX_DEFERRALS ) ) {
+		DBGC ( dhcp, "DHCP %p deferring discovery timeout\n", dhcp );
+		dhcp->start = currticks();
+		start_timer_fixed ( &dhcp->timer,
+				    ( DHCP_DISC_START_TIMEOUT_SEC *
+				      TICKS_PER_SEC ) );
+	}
 }
 
 /** DHCP discovery state operations */