diff --git a/tests/libtest.sh b/tests/libtest.sh
index 7ebe4449..6993629d 100755
--- a/tests/libtest.sh
+++ b/tests/libtest.sh
@@ -141,6 +141,7 @@ setup_test_repository () {
     fi
 
     cd ${test_tmpdir}
+    rm -rf repo
     if test -n "${mode}"; then
         ostree_repo_init repo --mode=${mode}
     else
@@ -152,6 +153,7 @@ setup_test_repository () {
     cd ${test_tmpdir}
     local oldumask="$(umask)"
     umask 022
+    rm -rf files
     mkdir files
     cd files
     ot_files=`pwd`