diff --git a/packages/opencode/src/config/config.ts b/packages/opencode/src/config/config.ts
index 8823c866e..e6bed238f 100644
--- a/packages/opencode/src/config/config.ts
+++ b/packages/opencode/src/config/config.ts
@@ -24,12 +24,6 @@ export namespace Config {
   export const state = Instance.state(async () => {
     const auth = await Auth.all()
     let result = await global()
-    for (const file of ["opencode.jsonc", "opencode.json"]) {
-      const found = await Filesystem.findUp(file, Instance.directory, Instance.worktree)
-      for (const resolved of found.toReversed()) {
-        result = mergeDeep(result, await loadFile(resolved))
-      }
-    }
 
     // Override with custom config if provided
     if (Flag.OPENCODE_CONFIG) {
@@ -37,6 +31,13 @@ export namespace Config {
       log.debug("loaded custom config", { path: Flag.OPENCODE_CONFIG })
     }
 
+    for (const file of ["opencode.jsonc", "opencode.json"]) {
+      const found = await Filesystem.findUp(file, Instance.directory, Instance.worktree)
+      for (const resolved of found.toReversed()) {
+        result = mergeDeep(result, await loadFile(resolved))
+      }
+    }
+
     if (Flag.OPENCODE_CONFIG_CONTENT) {
       result = mergeDeep(result, JSON.parse(Flag.OPENCODE_CONFIG_CONTENT))
       log.debug("loaded custom config from OPENCODE_CONFIG_CONTENT")
@@ -74,12 +75,15 @@ export namespace Config {
     for (const dir of directories) {
       await assertValid(dir)
 
-      for (const file of ["opencode.jsonc", "opencode.json"]) {
-        result = mergeDeep(result, await loadFile(path.join(dir, file)))
-        // to satisy the type checker
-        result.agent ??= {}
-        result.mode ??= {}
-        result.plugin ??= []
+      if (dir.endsWith(".opencode")) {
+        for (const file of ["opencode.jsonc", "opencode.json"]) {
+          log.debug(`loading config from ${path.join(dir, file)}`)
+          result = mergeDeep(result, await loadFile(path.join(dir, file)))
+          // to satisy the type checker
+          result.agent ??= {}
+          result.mode ??= {}
+          result.plugin ??= []
+        }
       }
 
       promises.push(installDependencies(dir))