Why does mortgage prepayment at a lower rate carry a prepayment risk for the lender?

I understand that the principal prepaid must be reinvested at a lower rate. Does this mean that the borrower can refinance his debt at a lower cost and hence pays off his more expensive debt?Why does mortgage prepayment at a lower rate carry a prepayment risk for the lender?
Not sure what your question is here, so here's an illustration of the prepayment risk situation. We'll oversimplify this a little, but this should get the point across:





Suppose I lent you $250,000 at an 8% interest rate to buy a house. Next week, interest rates go down to something like 5%, and you have an unpaid balance of $225,000 on your house. You go borrow $225,000 from someone else at a rate of 5% and use the money to clear out our loan. The money I thought I had locked in at 8% is returned to me immediately and I have to go out and look for someplace else to invest it, probably at around 5% this time.Why does mortgage prepayment at a lower rate carry a prepayment risk for the lender?
also any cc debt u rollover can be used as a tax ded
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