diff --git a/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.test.ts b/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.test.ts
index cc178f81ecc..83c1eb0e2a6 100644
--- a/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.test.ts
+++ b/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.test.ts
@@ -40,7 +40,7 @@ describe('N8nInlineTextEdit', () => {
 		expect(emittedEvents?.[0]).toEqual(['Updated Value']);
 	});
 
-	it('should not update value on blur if input is empty', async () => {
+	it('should not update value on enter if input is empty', async () => {
 		const wrapper = renderComponent({
 			props: {
 				modelValue: 'Test Value',
@@ -52,11 +52,26 @@ describe('N8nInlineTextEdit', () => {
 		const input = wrapper.getByTestId('inline-edit-input');
 
 		await userEvent.clear(input);
-		await userEvent.tab(); // Simulate blur
+		await userEvent.keyboard('{Enter}');
 
 		expect(preview).toHaveTextContent('Test Value');
 	});
 
+	it('should display changes to props.modelValue', async () => {
+		const wrapper = renderComponent({
+			props: {
+				modelValue: 'Test Value',
+			},
+		});
+		const preview = wrapper.getByTestId('inline-edit-preview');
+
+		expect(preview).toHaveTextContent('Test Value');
+
+		await wrapper.rerender({ modelValue: 'New Value!' });
+
+		expect(preview).toHaveTextContent('New Value!');
+	});
+
 	it('should not update on escape key press', async () => {
 		const wrapper = renderComponent({
 			props: {
diff --git a/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.vue b/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.vue
index 7b33d50b0af..21cb894e861 100644
--- a/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.vue
+++ b/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.vue
@@ -1,7 +1,7 @@
 <script lang="ts" setup>
 import { useElementSize } from '@vueuse/core';
 import { EditableArea, EditableInput, EditablePreview, EditableRoot } from 'reka-ui';
-import { computed, ref, useTemplateRef } from 'vue';
+import { computed, ref, useTemplateRef, watchEffect } from 'vue';
 
 type Props = {
 	modelValue: string;
@@ -25,9 +25,31 @@ const emit = defineEmits<{
 	'update:model-value': [value: string];
 }>();
 
-const newValue = ref(props.modelValue);
-const temp = ref(props.modelValue || props.placeholder);
 const editableRoot = useTemplateRef('editableRoot');
+const measureSpan = useTemplateRef('measureSpan');
+
+// Internal editing value
+const editingValue = ref(props.modelValue);
+
+// Content for width calculation
+const displayContent = computed(() => editingValue.value || props.placeholder);
+
+// Sync when modelValue prop changes
+watchEffect(() => {
+	editingValue.value = props.modelValue;
+});
+
+// Resize logic
+const { width: measuredWidth } = useElementSize(measureSpan);
+const inputWidth = computed(() =>
+	Math.max(props.minWidth, Math.min(measuredWidth.value + 1, props.maxWidth)),
+);
+
+const computedInlineStyles = computed(() => ({
+	width: `${inputWidth.value}px`,
+	maxWidth: `${props.maxWidth}px`,
+	zIndex: 1,
+}));
 
 function forceFocus() {
 	if (editableRoot.value && !props.readOnly) {
@@ -37,54 +59,32 @@ function forceFocus() {
 
 function forceCancel() {
 	if (editableRoot.value) {
-		newValue.value = props.modelValue;
+		editingValue.value = props.modelValue;
 		editableRoot.value.cancel();
 	}
 }
 
 function onSubmit() {
-	if (newValue.value === '') {
-		newValue.value = props.modelValue;
-		temp.value = props.modelValue;
+	const trimmed = editingValue.value.trim();
+	if (!trimmed) {
+		editingValue.value = props.modelValue;
 		return;
 	}
-	if (newValue.value !== props.modelValue) {
-		emit('update:model-value', newValue.value);
+	if (trimmed !== props.modelValue) {
+		emit('update:model-value', trimmed);
 	}
 }
 
 function onInput(value: string) {
-	newValue.value = value;
+	editingValue.value = value;
 }
 
 function onStateChange(state: string) {
 	if (state === 'cancel') {
-		temp.value = newValue.value;
+		editingValue.value = props.modelValue;
 	}
 }
 
-// Resize logic
-const measureSpan = useTemplateRef('measureSpan');
-const { width: measuredWidth } = useElementSize(measureSpan);
-
-const inputWidth = computed(() => {
-	return Math.max(props.minWidth, Math.min(measuredWidth.value + 1, props.maxWidth));
-});
-
-function onChange(event: Event) {
-	const { value } = event.target as HTMLInputElement;
-	const processedValue = value.replace(/\s/g, '.');
-	temp.value = processedValue.trim() !== '' ? processedValue : props.placeholder;
-}
-
-const computedInlineStyles = computed(() => {
-	return {
-		width: `${inputWidth.value}px`,
-		maxWidth: `${props.maxWidth}px`,
-		zIndex: 1,
-	};
-});
-
 defineExpose({ forceFocus, forceCancel });
 </script>
 
@@ -92,10 +92,10 @@ defineExpose({ forceFocus, forceCancel });
 	<EditableRoot
 		ref="editableRoot"
 		:placeholder="placeholder"
-		:model-value="newValue"
+		:model-value="editingValue"
 		submit-mode="both"
 		:class="$style.inlineRenameRoot"
-		:title="modelValue"
+		:title="props.modelValue"
 		:disabled="disabled"
 		:max-length="maxLength"
 		:readonly="readOnly"
@@ -111,7 +111,7 @@ defineExpose({ forceFocus, forceCancel });
 			data-test-id="inline-editable-area"
 		>
 			<span ref="measureSpan" :class="$style.measureSpan">
-				{{ temp }}
+				{{ displayContent }}
 			</span>
 			<EditablePreview
 				data-test-id="inline-edit-preview"
@@ -123,7 +123,7 @@ defineExpose({ forceFocus, forceCancel });
 				:class="$style.inlineRenameInput"
 				data-test-id="inline-edit-input"
 				:style="computedInlineStyles"
-				@input="onChange"
+				@input="onInput($event.target.value)"
 			/>
 		</EditableArea>
 	</EditableRoot>
@@ -185,7 +185,7 @@ defineExpose({ forceFocus, forceCancel });
 	position: absolute;
 	top: 0;
 	visibility: hidden;
-	white-space: nowrap;
+	white-space: pre;
 	font-family: inherit;
 	font-size: inherit;
 	font-weight: inherit;
diff --git a/packages/frontend/editor-ui/src/components/NodeDetailsViewV2.vue b/packages/frontend/editor-ui/src/components/NodeDetailsViewV2.vue
index bc5c168efd4..94c86df9c1d 100644
--- a/packages/frontend/editor-ui/src/components/NodeDetailsViewV2.vue
+++ b/packages/frontend/editor-ui/src/components/NodeDetailsViewV2.vue
@@ -866,7 +866,8 @@ onBeforeUnmount(() => {
 
 <style lang="scss" module>
 .backdrop {
-	position: fixed;
+	position: absolute;
+	z-index: var(--z-index-ndv);
 	top: 0;
 	left: 0;
 	right: 0;
@@ -875,9 +876,10 @@ onBeforeUnmount(() => {
 }
 
 .dialog {
-	position: fixed;
-	width: calc(100vw - var(--spacing-2xl));
-	height: calc(100vh - var(--spacing-2xl));
+	position: absolute;
+	z-index: var(--z-index-ndv);
+	width: calc(100% - var(--spacing-2xl));
+	height: calc(100% - var(--spacing-2xl));
 	top: var(--spacing-l);
 	left: var(--spacing-l);
 	border: none;
diff --git a/packages/frontend/editor-ui/src/constants.ts b/packages/frontend/editor-ui/src/constants.ts
index c68c4d2be83..7db19ed262b 100644
--- a/packages/frontend/editor-ui/src/constants.ts
+++ b/packages/frontend/editor-ui/src/constants.ts
@@ -777,6 +777,7 @@ export const EXPERIMENTS_TO_TRACK = [
 	RAG_STARTER_WORKFLOW_EXPERIMENT.name,
 	EXTRA_TEMPLATE_LINKS_EXPERIMENT.name,
 	TEMPLATE_ONBOARDING_EXPERIMENT.name,
+	NDV_UI_OVERHAUL_EXPERIMENT.name,
 ];
 
 export const MFA_FORM = {