diff --git a/dvc/cachemgr.py b/dvc/cachemgr.py
index e94bc110f..1473c5961 100644
--- a/dvc/cachemgr.py
+++ b/dvc/cachemgr.py
@@ -42,11 +42,8 @@ class CacheManager:
         self.config = config = repo.config["cache"]
         self._odb = {}
 
-        default = None
-        if repo and repo.local_dvc_dir:
-            default = os.path.join(repo.local_dvc_dir, self.CACHE_DIR)
-
         local = config.get("local")
+        default = self.default_local_cache_dir
 
         if local:
             settings = {"name": local}
@@ -103,6 +100,13 @@ class CacheManager:
         """
         return self.legacy.path
 
+    @property
+    def default_local_cache_dir(self) -> Optional[str]:
+        repo = self._repo
+        if repo and repo.local_dvc_dir:
+            return os.path.join(repo.local_dvc_dir, self.CACHE_DIR)
+        return None
+
 
 def migrate_2_to_3(repo: "Repo", dry: bool = False):
     """Migrate legacy 2.x objects to 3.x cache.
diff --git a/dvc/repo/__init__.py b/dvc/repo/__init__.py
index fbdf98201..68fbdf22a 100644
--- a/dvc/repo/__init__.py
+++ b/dvc/repo/__init__.py
@@ -15,7 +15,6 @@ from typing import (
 
 from dvc.exceptions import NotDvcRepoError, OutputNotFoundError
 from dvc.ignore import DvcIgnoreFilter
-from dvc.utils.fs import path_isin
 from dvc.utils.objects import cached_property
 
 if TYPE_CHECKING:
@@ -455,8 +454,9 @@ class Repo:
         flist = [self.config.files["local"]]
         if tmp_dir := self.tmp_dir:
             flist.append(tmp_dir)
-        if path_isin(self.cache.legacy.path, self.root_dir):
-            flist.append(self.cache.legacy.path)
+
+        if cache_dir := self.cache.default_local_cache_dir:
+            flist.append(cache_dir)
 
         for file in flist:
             self.scm_context.ignore(file)