All other things being equal, meaning if we can assume we are only talking about a change in the points, follow these steps:
1) Calculate the monthly payment WITHOUT paying the points,
2) Calculate the monthly payment WITH paying the points,
3) Take result from #1 and minus result from #2 (this is your savings per month by paying the point).
4) Now, take the cost of paying the point and divide by the result from #3 (this is your breakeven point in months time).
Now you can consider the cost vs. benefit based on the number of months/years you intend to stay. For every month you stay past the breakeven point you are saving money. Leave before the breakeven point, and you have lost money by paying the point.
So, what is best for you will depend on the exact numbers you have to work with, and your timeline for occupation; however, this easy analysis should help you to â€œpencil-outâ€ what is your best move.
Prima facie, it is not a good idea if you plan to live for only 3 to 5 years.