Comment by stavrus

Just want to point out that if you're using an encrypted filesystem, vagrant up will fail if NFS is enabled. The workaround is to use rsync to maintain the synced folders, a feature introduced in Vagrant 1.5. Just use vagrant rsync-auto to keep the guest folder in sync automatically with your local folder. If you modify files within the VM (like with a bundle install that modifies your Gemfile.lock or with rails generators), I recommend installing the vagrant-rsync-back plugin (https://github.com/smerrill/vagrant-rsync-back).