diff --git a/src/components/entity/ha-entity-name-picker.ts b/src/components/entity/ha-entity-name-picker.ts
index 5c8ce4b761..4899d130c8 100644
--- a/src/components/entity/ha-entity-name-picker.ts
+++ b/src/components/entity/ha-entity-name-picker.ts
@@ -86,8 +86,8 @@ export class HaEntityNamePicker extends LitElement {
 
   private _editIndex?: number;
 
-  private _validOptions = memoizeOne((entityId?: string) => {
-    const options = new Set<string>();
+  private _validTypes = memoizeOne((entityId?: string) => {
+    const options = new Set<string>(["text"]);
     if (!entityId) {
       return options;
     }
@@ -119,22 +119,22 @@ export class HaEntityNamePicker extends LitElement {
       return [];
     }
 
-    const options = this._validOptions(entityId);
+    const types = this._validTypes(entityId);
 
     const items = (
       ["entity", "device", "area", "floor"] as const
     ).map<EntityNameOption>((name) => {
       const stateObj = this.hass.states[entityId];
-      const isValid = options.has(name);
+      const isValid = types.has(name);
       const primary = this.hass.localize(
         `ui.components.entity.entity-name-picker.types.${name}`
       );
       const secondary =
-        stateObj && isValid
+        (stateObj && isValid
           ? this.hass.formatEntityName(stateObj, { type: name })
           : this.hass.localize(
               `ui.components.entity.entity-name-picker.types.${name}_missing` as LocalizeKeys
-            ) || "-";
+            )) || "-";
 
       return {
         primary,
@@ -169,9 +169,9 @@ export class HaEntityNamePicker extends LitElement {
   };
 
   protected render() {
-    const value = this._value;
+    const value = this._items;
     const options = this._getOptions(this.entityId);
-    const validOptions = this._validOptions(this.entityId);
+    const validTypes = this._validTypes(this.entityId);
 
     return html`
       ${this.label ? html`<label>${this.label}</label>` : nothing}
@@ -185,12 +185,11 @@ export class HaEntityNamePicker extends LitElement {
         >
           <ha-chip-set>
             ${repeat(
-              this._value,
+              this._items,
               (item) => item,
               (item: EntityNameItem, idx) => {
                 const label = this._formatItem(item);
-                const isValid =
-                  item.type === "text" || validOptions.has(item.type);
+                const isValid = validTypes.has(item.type);
                 return html`
                   <ha-input-chip
                     data-idx=${idx}
@@ -238,7 +237,7 @@ export class HaEntityNamePicker extends LitElement {
             .hass=${this.hass}
             .value=${""}
             .autofocus=${this.autofocus}
-            .disabled=${this.disabled || !this.entityId}
+            .disabled=${this.disabled}
             .required=${this.required && !value.length}
             .helper=${this.helper}
             .items=${options}
@@ -285,7 +284,7 @@ export class HaEntityNamePicker extends LitElement {
     this._opened = true;
   }
 
-  private get _value(): EntityNameItem[] {
+  private get _items(): EntityNameItem[] {
     return this._toItems(this.value);
   }
 
@@ -318,19 +317,21 @@ export class HaEntityNamePicker extends LitElement {
       const options = this._comboBox.items || [];
 
       const initialItem =
-        this._editIndex != null ? this._value[this._editIndex] : undefined;
+        this._editIndex != null ? this._items[this._editIndex] : undefined;
 
       const initialValue = initialItem ? formatOptionValue(initialItem) : "";
 
       const filteredItems = this._filterSelectedOptions(options, initialValue);
 
-      if (initialItem && initialItem.type === "text" && initialItem.text) {
+      if (initialItem?.type === "text" && initialItem.text) {
         filteredItems.push(this._customNameOption(initialItem.text));
       }
+
       this._comboBox.filteredItems = filteredItems;
       this._comboBox.setInputValue(initialValue);
     } else {
       this._opened = false;
+      this._comboBox.setInputValue("");
     }
   }
 
@@ -338,15 +339,16 @@ export class HaEntityNamePicker extends LitElement {
     options: EntityNameOption[],
     current?: string
   ) => {
-    const value = this._value;
+    const items = this._items;
 
-    const types = value.map((item) => item.type) as string[];
+    const excludedValues = new Set(
+      items
+        .filter((item) => UNIQUE_TYPES.has(item.type))
+        .map((item) => formatOptionValue(item))
+    );
 
     const filteredOptions = options.filter(
-      (option) =>
-        !UNIQUE_TYPES.has(option.value) ||
-        !types.includes(option.value) ||
-        option.value === current
+      (option) => !excludedValues.has(option.value) || option.value === current
     );
     return filteredOptions;
   };
@@ -357,16 +359,14 @@ export class HaEntityNamePicker extends LitElement {
     const options = this._comboBox.items || [];
 
     const currentItem =
-      this._editIndex != null ? this._value[this._editIndex] : undefined;
+      this._editIndex != null ? this._items[this._editIndex] : undefined;
 
     const currentValue = currentItem ? formatOptionValue(currentItem) : "";
 
-    this._comboBox.filteredItems = this._filterSelectedOptions(
-      options,
-      currentValue
-    );
+    let filteredItems = this._filterSelectedOptions(options, currentValue);
 
     if (!filter) {
+      this._comboBox.filteredItems = filteredItems;
       return;
     }
 
@@ -378,9 +378,8 @@ export class HaEntityNamePicker extends LitElement {
       ignoreDiacritics: true,
     };
 
-    const fuse = new Fuse(this._comboBox.filteredItems, fuseOptions);
-    const filteredItems = fuse.search(filter).map((result) => result.item);
-
+    const fuse = new Fuse(filteredItems, fuseOptions);
+    filteredItems = fuse.search(filter).map((result) => result.item);
     filteredItems.push(this._customNameOption(input));
     this._comboBox.filteredItems = filteredItems;
   }
@@ -388,7 +387,7 @@ export class HaEntityNamePicker extends LitElement {
   private async _moveItem(ev: CustomEvent) {
     ev.stopPropagation();
     const { oldIndex, newIndex } = ev.detail;
-    const value = this._value;
+    const value = this._items;
     const newValue = value.concat();
     const element = newValue.splice(oldIndex, 1)[0];
     newValue.splice(newIndex, 0, element);
@@ -399,7 +398,7 @@ export class HaEntityNamePicker extends LitElement {
 
   private async _removeItem(ev) {
     ev.stopPropagation();
-    const value = [...this._value];
+    const value = [...this._items];
     const idx = parseInt(ev.target.dataset.idx, 10);
     value.splice(idx, 1);
     this._setValue(value);
@@ -417,7 +416,7 @@ export class HaEntityNamePicker extends LitElement {
 
     const item: EntityNameItem = parseOptionValue(value);
 
-    const newValue = [...this._value];
+    const newValue = [...this._items];
 
     if (this._editIndex != null) {
       newValue[this._editIndex] = item;