diff --git a/internal/controller/incusmachine_controller.go b/internal/controller/incusmachine_controller.go
index f39a884..8419974 100644
--- a/internal/controller/incusmachine_controller.go
+++ b/internal/controller/incusmachine_controller.go
@@ -274,8 +274,14 @@ func (r *IncusMachineReconciler) reconcileNormal(ctx context.Context, cluster *c
 	}
 	dataSecretName := *machine.Spec.Bootstrap.DataSecretName
 
-	_, err := r.IncusClient.GetInstance(ctx, incusMachine.Name)
+	output, err := r.IncusClient.GetInstance(ctx, incusMachine.Name)
 	if err == nil {
+		if r.isMachineReady(ctx, output) {
+			log.Info("IncusMachine instance is ready")
+
+			incusMachine.Status.Ready = true
+		}
+
 		return ctrl.Result{}, nil
 	}
 	if !errors.Is(err, incus.ErrorInstanceNotFound) {
@@ -325,6 +331,10 @@ func (r *IncusMachineReconciler) getBootstrapData(ctx context.Context, namespace
 	return string(value), bootstrapv1.Format(format), nil
 }
 
+func (r *IncusMachineReconciler) isMachineReady(ctx context.Context, output *incus.GetInstanceOutput) bool {
+	return output.StatusCode == api.Ready
+}
+
 // SetupWithManager sets up the controller with the Manager.
 func (r *IncusMachineReconciler) SetupWithManager(ctx context.Context, mgr ctrl.Manager) error {
 	clusterToIncusMachines, err := util.ClusterToTypedObjectsMapper(mgr.GetClient(), &infrav1alpha1.IncusMachineList{}, mgr.GetScheme())