diff --git a/src/config/app_config.rs b/src/config/app_config.rs
index a363ca8..61646fe 100644
--- a/src/config/app_config.rs
+++ b/src/config/app_config.rs
@@ -274,10 +274,25 @@ impl AppConfig {
 
     pub fn vault_password_file(&self) -> PathBuf {
         match &self.vault_password_file {
-            Some(path) => match path.exists() {
-                true => path.clone(),
-                false => gman::config::Config::local_provider_password_file(),
-            },
+            Some(path) => {
+                if path.exists() {
+                    return path.clone();
+                }
+                
+                if let Some(translated) = paths::translate_sandboxed_home_path(path)
+                    && translated.exists()
+                {
+                    info!(
+                        "vault_password_file '{}' not found; resolved to sandboxed path '{}'",
+                        path.display(),
+                        translated.display()
+                    );
+                    
+                    return translated;
+                }
+                
+                gman::config::Config::local_provider_password_file()
+            }
             None => gman::config::Config::local_provider_password_file(),
         }
     }
diff --git a/src/config/paths.rs b/src/config/paths.rs
index 1578225..d694870 100644
--- a/src/config/paths.rs
+++ b/src/config/paths.rs
@@ -41,6 +41,70 @@ pub fn sandbox_kit_override() -> Option<PathBuf> {
     env::var_os(get_env_name("sandbox_kit")).map(PathBuf::from)
 }
 
+pub fn translate_sandboxed_home_path(path: &Path) -> Option<PathBuf> {
+    if env::var_os("IS_SANDBOX").is_none() {
+        return None;
+    }
+
+    let s = path.to_str()?;
+
+    if let Some(translated) = translate_unix_home_style(s, "/home/") {
+        return Some(translated);
+    }
+    
+    if let Some(translated) = translate_unix_home_style(s, "/Users/") {
+        return Some(translated);
+    }
+
+    translate_windows_users_path(s)
+}
+
+fn translate_unix_home_style(s: &str, prefix: &str) -> Option<PathBuf> {
+    let rest = s.strip_prefix(prefix)?;
+    let (user, tail) = match rest.split_once('/') {
+        Some((u, t)) => (u, t),
+        None => (rest, ""),
+    };
+    
+    if user.is_empty() || user == "agent" {
+        return None;
+    }
+    
+    Some(if tail.is_empty() {
+        PathBuf::from("/home/agent")
+    } else {
+        PathBuf::from(format!("/home/agent/{tail}"))
+    })
+}
+
+fn translate_windows_users_path(s: &str) -> Option<PathBuf> {
+    let bytes = s.as_bytes();
+    if bytes.len() < 4
+        || !bytes[0].is_ascii_alphabetic()
+        || bytes[1] != b':'
+        || bytes[2] != b'\\'
+    {
+        return None;
+    }
+    
+    let after_drive = &s[3..];
+    let rest = after_drive.strip_prefix("Users\\")?;
+    let (user, tail) = match rest.split_once('\\') {
+        Some((u, t)) => (u, t.replace('\\', "/")),
+        None => (rest, String::new()),
+    };
+    
+    if user.is_empty() || user == "agent" {
+        return None;
+    }
+    
+    Some(if tail.is_empty() {
+        PathBuf::from("/home/agent")
+    } else {
+        PathBuf::from(format!("/home/agent/{tail}"))
+    })
+}
+
 pub fn sbx_mixin_file() -> PathBuf {
     config_dir().join(SBX_MIXIN_FILE_NAME)
 }
@@ -407,6 +471,173 @@ mod tests {
         }
     }
 
+    mod sandbox_home_translation {
+        use super::*;
+        use serial_test::serial;
+
+        fn with_sandbox<F: FnOnce()>(f: F) {
+            let prev = env::var_os("IS_SANDBOX");
+            unsafe {
+                env::set_var("IS_SANDBOX", "1");
+            }
+            f();
+            unsafe {
+                match prev {
+                    Some(v) => env::set_var("IS_SANDBOX", v),
+                    None => env::remove_var("IS_SANDBOX"),
+                }
+            }
+        }
+
+        fn without_sandbox<F: FnOnce()>(f: F) {
+            let prev = env::var_os("IS_SANDBOX");
+            unsafe {
+                env::remove_var("IS_SANDBOX");
+            }
+            f();
+            unsafe {
+                if let Some(v) = prev {
+                    env::set_var("IS_SANDBOX", v);
+                }
+            }
+        }
+
+        #[test]
+        #[serial]
+        fn returns_none_when_not_in_sandbox() {
+            without_sandbox(|| {
+                let p = Path::new("/home/atusa/.coyote_password");
+                assert_eq!(translate_sandboxed_home_path(p), None);
+            });
+        }
+
+        #[test]
+        #[serial]
+        fn translates_host_home_to_agent_home() {
+            with_sandbox(|| {
+                let p = Path::new("/home/atusa/.coyote_password");
+                assert_eq!(
+                    translate_sandboxed_home_path(p),
+                    Some(PathBuf::from("/home/agent/.coyote_password"))
+                );
+            });
+        }
+
+        #[test]
+        #[serial]
+        fn translates_nested_host_home_path() {
+            with_sandbox(|| {
+                let p = Path::new("/home/atusa/.config/coyote/.password");
+                assert_eq!(
+                    translate_sandboxed_home_path(p),
+                    Some(PathBuf::from("/home/agent/.config/coyote/.password"))
+                );
+            });
+        }
+
+        #[test]
+        #[serial]
+        fn returns_none_when_path_already_targets_agent_home() {
+            with_sandbox(|| {
+                let p = Path::new("/home/agent/.coyote_password");
+                assert_eq!(translate_sandboxed_home_path(p), None);
+            });
+        }
+
+        #[test]
+        #[serial]
+        fn returns_none_when_path_is_outside_home() {
+            with_sandbox(|| {
+                let p = Path::new("/etc/coyote/.coyote_password");
+                assert_eq!(translate_sandboxed_home_path(p), None);
+            });
+        }
+
+        #[test]
+        #[serial]
+        fn returns_none_for_relative_path() {
+            with_sandbox(|| {
+                let p = Path::new(".coyote_password");
+                assert_eq!(translate_sandboxed_home_path(p), None);
+            });
+        }
+
+        #[test]
+        #[serial]
+        fn returns_none_for_first_segment_not_home() {
+            with_sandbox(|| {
+                let p = Path::new("/opt/atusa/.coyote_password");
+                assert_eq!(translate_sandboxed_home_path(p), None);
+            });
+        }
+
+        #[test]
+        #[serial]
+        fn translates_macos_users_path() {
+            with_sandbox(|| {
+                let p = Path::new("/Users/atusa/.coyote_password");
+                assert_eq!(
+                    translate_sandboxed_home_path(p),
+                    Some(PathBuf::from("/home/agent/.coyote_password"))
+                );
+            });
+        }
+
+        #[test]
+        #[serial]
+        fn translates_macos_nested_path() {
+            with_sandbox(|| {
+                let p = Path::new("/Users/atusa/.config/coyote/.password");
+                assert_eq!(
+                    translate_sandboxed_home_path(p),
+                    Some(PathBuf::from("/home/agent/.config/coyote/.password"))
+                );
+            });
+        }
+
+        #[test]
+        #[serial]
+        fn returns_none_when_macos_path_already_targets_agent() {
+            with_sandbox(|| {
+                let p = Path::new("/Users/agent/.coyote_password");
+                assert_eq!(translate_sandboxed_home_path(p), None);
+            });
+        }
+
+        #[test]
+        #[serial]
+        fn translates_windows_drive_letter_path() {
+            with_sandbox(|| {
+                let p = Path::new("C:\\Users\\atusa\\.coyote_password");
+                assert_eq!(
+                    translate_sandboxed_home_path(p),
+                    Some(PathBuf::from("/home/agent/.coyote_password"))
+                );
+            });
+        }
+
+        #[test]
+        #[serial]
+        fn translates_windows_nested_path() {
+            with_sandbox(|| {
+                let p = Path::new("D:\\Users\\atusa\\.config\\coyote\\.password");
+                assert_eq!(
+                    translate_sandboxed_home_path(p),
+                    Some(PathBuf::from("/home/agent/.config/coyote/.password"))
+                );
+            });
+        }
+
+        #[test]
+        #[serial]
+        fn returns_none_when_windows_path_already_targets_agent() {
+            with_sandbox(|| {
+                let p = Path::new("C:\\Users\\agent\\.coyote_password");
+                assert_eq!(translate_sandboxed_home_path(p), None);
+            });
+        }
+    }
+
     #[test]
     fn sandbox_kit_override_reflects_env_var_state() {
         let env_name = get_env_name("sandbox_kit");
diff --git a/src/vault/mod.rs b/src/vault/mod.rs
index d2e2c81..a8e9ca7 100644
--- a/src/vault/mod.rs
+++ b/src/vault/mod.rs
@@ -17,7 +17,7 @@ use gman::providers::SecretProvider;
 use gman::providers::SupportedProvider;
 use gman::providers::local::LocalProvider;
 use inquire::{Password, PasswordDisplayMode, required};
-use log::warn;
+use log::{info, warn};
 use serde_yaml::Value;
 use std::sync::{Arc, LazyLock};
 use tokio::runtime::Handle;
@@ -25,6 +25,31 @@ use uuid::Uuid;
 
 pub static SECRET_RE: LazyLock<Regex> = LazyLock::new(|| Regex::new(r"\{\{([^{}]+)}}").unwrap());
 
+fn apply_sandboxed_home_translation(provider_def: &mut LocalProvider) {
+    let Some(ref pf) = provider_def.password_file else {
+        return;
+    };
+
+    if pf.exists() {
+        return;
+    }
+
+    let Some(translated) = paths::translate_sandboxed_home_path(pf) else {
+        return;
+    };
+
+    if !translated.exists() {
+        return;
+    }
+
+    info!(
+        "vault password file '{}' not found; resolved to sandboxed path '{}'",
+        pf.display(),
+        translated.display()
+    );
+    provider_def.password_file = Some(translated);
+}
+
 #[derive(Debug, Default, Clone)]
 pub struct Vault {
     pub(crate) provider: SupportedProvider,
@@ -92,6 +117,7 @@ impl Vault {
         };
 
         if let SupportedProvider::Local { provider_def } = &mut provider {
+            apply_sandboxed_home_translation(provider_def);
             ensure_password_file_initialized(provider_def)?;
         }