diff --git a/src/components/views/elements/AppTile.tsx b/src/components/views/elements/AppTile.tsx
index 0ec1e06fd284..a83631490e88 100644
--- a/src/components/views/elements/AppTile.tsx
+++ b/src/components/views/elements/AppTile.tsx
@@ -57,6 +57,7 @@ import { WidgetMessagingStore } from "../../../stores/widgets/WidgetMessagingSto
 import { SdkContextClass } from "../../../contexts/SDKContext";
 import { ModuleRunner } from "../../../modules/ModuleRunner";
 import { parseUrl } from "../../../utils/UrlUtils";
+import { setTimeout } from "matrix-js-sdk/src/realtime-callbacks";
 
 interface IProps {
     app: IWidget | IApp;
@@ -249,8 +250,9 @@ export default class AppTile extends React.Component<IProps, IState> {
     private getNewState(newProps: IProps): IState {
         return {
             initialising: true, // True while we are mangling the widget URL
-            // True while the iframe content is loading
-            loading: true,
+            // Don't show loading at all if the widget is ready once the IFrame is loaded (waitForIframeLoad = true).
+            // We only need the loading screen if the widget sends a contentLoaded event (waitForIframeLoad = false).
+            loading: !this.props.waitForIframeLoad && !PersistedElement.isMounted(this.persistKey),
             // Assume that widget has permission to load if we are the user who
             // added it to the room, or if explicitly granted by the user
             hasPermissionToLoad: this.hasPermissionToLoad(newProps),
@@ -312,7 +314,6 @@ export default class AppTile extends React.Component<IProps, IState> {
         if (this.props.room) {
             this.context.on(RoomEvent.MyMembership, this.onMyMembership);
         }
-
         this.allowedWidgetsWatchRef = SettingsStore.watchSetting("allowedWidgets", null, this.onAllowedWidgetsChange);
         // Widget action listeners
         this.dispatcherRef = dis.register(this.onAction);
@@ -353,7 +354,6 @@ export default class AppTile extends React.Component<IProps, IState> {
 
     private setupSgListeners(): void {
         this.sgWidget?.on("ready", this.onWidgetReady);
-        this.sgWidget?.on("preparing", this.onWidgetPreparing);
         this.sgWidget?.on("error:preparing", this.updateRequiresClient);
         // emits when the capabilities have been set up or changed
         this.sgWidget?.on("capabilitiesNotified", this.updateRequiresClient);
@@ -362,7 +362,6 @@ export default class AppTile extends React.Component<IProps, IState> {
     private stopSgListeners(): void {
         if (!this.sgWidget) return;
         this.sgWidget?.off("ready", this.onWidgetReady);
-        this.sgWidget?.off("preparing", this.onWidgetPreparing);
         this.sgWidget.off("error:preparing", this.updateRequiresClient);
         this.sgWidget.off("capabilitiesNotified", this.updateRequiresClient);
     }
@@ -448,15 +447,6 @@ export default class AppTile extends React.Component<IProps, IState> {
 
         this.sgWidget?.stopMessaging({ forceDestroy: true });
     }
-    private onWidgetPreparing = (): void => {
-        if (this.props.waitForIframeLoad) {
-            // If the widget is configured to start immediately after the IFrame is loaded, (it does not have any custom initialization)
-            // we need to consider it ready now since it might not even use the widget api.
-            this.onWidgetReady();
-        }
-        // If waitForIframeLoad = false. We do nothing here. The widget is responsible to send a content_loaded action
-        // and the messaging will emit "ready" (-> this will call onWidgetReady)
-    };
     private onWidgetReady = (): void => {
         this.setState({ loading: false });
     };