diff --git a/src/conf_mode/interfaces-pseudo-ethernet.py b/src/conf_mode/interfaces-pseudo-ethernet.py
index 20f2b1975..4c65bc0b6 100755
--- a/src/conf_mode/interfaces-pseudo-ethernet.py
+++ b/src/conf_mode/interfaces-pseudo-ethernet.py
@@ -1,105 +1,107 @@
 #!/usr/bin/env python3
 #
 # Copyright (C) 2019-2022 VyOS maintainers and contributors
 #
 # This program is free software; you can redistribute it and/or modify
 # it under the terms of the GNU General Public License version 2 or later as
 # published by the Free Software Foundation.
 #
 # This program is distributed in the hope that it will be useful,
 # but WITHOUT ANY WARRANTY; without even the implied warranty of
 # MERCHANTABILITY or FITNESS FOR A PARTICULAR PURPOSE. See the
 # GNU General Public License for more details.
 #
 # You should have received a copy of the GNU General Public License
 # along with this program.  If not, see <http://www.gnu.org/licenses/>.
 
 from sys import exit
+from netifaces import interfaces
 
 from vyos.config import Config
 from vyos.configdict import get_interface_dict
 from vyos.configdict import is_node_changed
 from vyos.configdict import is_source_interface
+from vyos.configdict import leaf_node_changed
 from vyos.configverify import verify_vrf
 from vyos.configverify import verify_address
 from vyos.configverify import verify_bridge_delete
 from vyos.configverify import verify_source_interface
 from vyos.configverify import verify_vlan_config
 from vyos.configverify import verify_mtu_parent
 from vyos.configverify import verify_mirror_redirect
 from vyos.configverify import verify_bond_bridge_member
 from vyos.ifconfig import MACVLANIf
 from vyos import ConfigError
 
 from vyos import airbag
 airbag.enable()
 
 def get_config(config=None):
     """
     Retrive CLI config as dictionary. Dictionary can never be empty, as at
     least the interface name will be added or a deleted flag
     """
     if config:
         conf = config
     else:
         conf = Config()
     base = ['interfaces', 'pseudo-ethernet']
     ifname, peth = get_interface_dict(conf, base)
 
     mode = is_node_changed(conf, ['mode'])
     if mode: peth.update({'shutdown_required' : {}})
 
+    if leaf_node_changed(conf, base + [ifname, 'mode']):
+        peth.update({'rebuild_required': {}})
+
     if 'source_interface' in peth:
         _, peth['parent'] = get_interface_dict(conf, ['interfaces', 'ethernet'],
                                                peth['source_interface'])
         # test if source-interface is maybe already used by another interface
         tmp = is_source_interface(conf, peth['source_interface'], ['macsec'])
         if tmp and tmp != ifname: peth.update({'is_source_interface' : tmp})
 
     return peth
 
 def verify(peth):
     if 'deleted' in peth:
         verify_bridge_delete(peth)
         return None
 
     verify_source_interface(peth)
     verify_vrf(peth)
     verify_address(peth)
     verify_mtu_parent(peth, peth['parent'])
     verify_mirror_redirect(peth)
     # use common function to verify VLAN configuration
     verify_vlan_config(peth)
 
     return None
 
 def generate(peth):
     return None
 
 def apply(peth):
-    if 'deleted' in peth:
-        # delete interface
-        MACVLANIf(peth['ifname']).remove()
-        return None
+    # Check if the MACVLAN interface already exists
+    if 'rebuild_required' in peth or 'deleted' in peth:
+        if peth['ifname'] in interfaces():
+            p = MACVLANIf(peth['ifname'])
+            # MACVLAN is always needs to be recreated,
+            # thus we can simply always delete it first.
+            p.remove()
 
-    # Check if MACVLAN interface already exists. Parameters like the underlaying
-    # source-interface device or mode can not be changed on the fly and the
-    # interface needs to be recreated from the bottom.
-    if 'mode_old' in peth:
-        MACVLANIf(peth['ifname']).remove()
+    if 'deleted' not in peth:
+        p = MACVLANIf(**peth)
+        p.update(peth)
 
-    # It is safe to "re-create" the interface always, there is a sanity check
-    # that the interface will only be create if its non existent
-    p = MACVLANIf(**peth)
-    p.update(peth)
     return None
 
 if __name__ == '__main__':
     try:
         c = get_config()
         verify(c)
         generate(c)
         apply(c)
     except ConfigError as e:
         print(e)
         exit(1)