diff --git a/direnv.el b/direnv.el
index c04dc3b..d5f3dc4 100644
--- a/direnv.el
+++ b/direnv.el
@@ -124,9 +124,9 @@ In these modes, direnv will use `default-directory' instead of
   (with-current-buffer (window-buffer)
     (let ((directory-name (direnv--directory)))
       (when (and directory-name
-                 (file-directory-p directory-name)
+                 (not (file-remote-p directory-name))
                  (not (string-equal direnv--active-directory directory-name))
-                 (not (file-remote-p directory-name)))
+                 (file-directory-p directory-name))
         (direnv-update-directory-environment directory-name)))))
 
 (defun direnv--summarise-changes (items)