diff --git a/.changeset/rare-trains-scream.md b/.changeset/rare-trains-scream.md
new file mode 100644
index 0000000000..e6a3a141fa
--- /dev/null
+++ b/.changeset/rare-trains-scream.md
@@ -0,0 +1,5 @@
+---
+'@backstage/plugin-scaffolder': patch
+---
+
+fix(scaffolder): use `onInputChange` in `RepoUrlPicker` to fix issue with the value not updating properly
diff --git a/plugins/scaffolder/src/components/fields/RepoUrlPicker/RepoUrlPickerRepoName.tsx b/plugins/scaffolder/src/components/fields/RepoUrlPicker/RepoUrlPickerRepoName.tsx
index 9c63140d1c..b1152d3c1f 100644
--- a/plugins/scaffolder/src/components/fields/RepoUrlPicker/RepoUrlPickerRepoName.tsx
+++ b/plugins/scaffolder/src/components/fields/RepoUrlPicker/RepoUrlPickerRepoName.tsx
@@ -67,7 +67,7 @@ export const RepoUrlPickerRepoName = (props: {
         ) : (
           <Autocomplete
             value={repoName}
-            onChange={(_, newValue) => {
+            onInputChange={(_, newValue) => {
               onChange(newValue || '');
             }}
             options={availableRepos || []}