diff --git a/src/libraries/Microsoft.Extensions.Configuration.Binder/gen/ConfigurationBindingGenerator.Parser.cs b/src/libraries/Microsoft.Extensions.Configuration.Binder/gen/ConfigurationBindingGenerator.Parser.cs
index a3c5d705c4deb8..2e18263bac1001 100644
--- a/src/libraries/Microsoft.Extensions.Configuration.Binder/gen/ConfigurationBindingGenerator.Parser.cs
+++ b/src/libraries/Microsoft.Extensions.Configuration.Binder/gen/ConfigurationBindingGenerator.Parser.cs
@@ -157,8 +157,11 @@ private void EnqueueTargetTypeForRootInvocation(ITypeSymbol? typeSymbol, Methods
                 }
             }
 
-            private TypeRef EnqueueTransitiveType(TypeParseInfo containingTypeParseInfo, ITypeSymbol memberTypeSymbol, DiagnosticDescriptor diagDescriptor, string? memberName = null)
+            private TypeRef EnqueueTransitiveType(TypeParseInfo containingTypeParseInfo, ITypeSymbol memberTypeSymbol, DiagnosticDescriptor diagDescriptor, string? memberName = null, TypeRef? knownTypeRef = null)
             {
+                Debug.Assert(knownTypeRef is null || knownTypeRef.FullyQualifiedName == memberTypeSymbol.GetFullyQualifiedName(),
+                    $"'{nameof(knownTypeRef)}' must describe '{nameof(memberTypeSymbol)}'.");
+
                 TypeParseInfo memberTypeParseInfo = containingTypeParseInfo.ToTransitiveTypeParseInfo(memberTypeSymbol, diagDescriptor, memberName);
 
                 if (_createdTypeSpecs.TryGetValue(memberTypeSymbol, out TypeSpec? memberTypeSpec))
@@ -168,7 +171,7 @@ private TypeRef EnqueueTransitiveType(TypeParseInfo containingTypeParseInfo, ITy
                 }
 
                 _typesToParse.Enqueue(memberTypeParseInfo);
-                return new TypeRef(memberTypeSymbol);
+                return knownTypeRef ?? new TypeRef(memberTypeSymbol);
             }
 
             private TypeSpec CreateTypeSpec(TypeParseInfo typeParseInfo)
@@ -641,6 +644,12 @@ private bool ConstructorParametersContainUnsupportedType(IMethodSymbol ctor)
                 return false;
             }
 
+            private static bool BacksConstructorParameter(IMethodSymbol? ctor, string propertyName)
+            {
+                return ctor is not null
+                    && ctor.Parameters.Any(parameter => string.Equals(parameter.Name, propertyName, StringComparison.OrdinalIgnoreCase));
+            }
+
             private ObjectSpec CreateObjectSpec(TypeParseInfo typeParseInfo)
             {
                 INamedTypeSymbol typeSymbol = (INamedTypeSymbol)typeParseInfo.TypeSymbol;
@@ -745,19 +754,23 @@ private ObjectSpec CreateObjectSpec(TypeParseInfo typeParseInfo)
                                 continue;
                             }
 
-                            TypeRef propertyTypeRef = EnqueueTransitiveType(typeParseInfo, property.Type, DiagnosticDescriptors.PropertyNotSupported, propertyName);
                             ImmutableArray<AttributeData> attributes = property.GetAttributes();
 
                             AttributeData? attributeData = attributes.FirstOrDefault(a => SymbolEqualityComparer.Default.Equals(a.AttributeClass, _typeSymbols.ConfigurationKeyNameAttribute));
                             string configKeyName = attributeData?.ConstructorArguments.FirstOrDefault().Value as string ?? propertyName;
                             bool isIgnored = attributes.Any(a => SymbolEqualityComparer.Default.Equals(a.AttributeClass, _typeSymbols.ConfigurationIgnoreAttribute));
 
-                            PropertySpec spec = new(property, propertyTypeRef)
+                            PropertySpec spec = new(property, new TypeRef(property.Type))
                             {
                                 ConfigurationKeyName = configKeyName,
                                 IsIgnored = isIgnored,
                             };
 
+                            if (!spec.IsIgnored && (spec.CanGet || spec.CanSet || BacksConstructorParameter(ctor, propertyName)))
+                            {
+                                EnqueueTransitiveType(typeParseInfo, property.Type, DiagnosticDescriptors.PropertyNotSupported, propertyName, spec.TypeRef);
+                            }
+
                             (properties ??= new(StringComparer.OrdinalIgnoreCase))[propertyName] = spec;
                         }
                     }
diff --git a/src/libraries/Microsoft.Extensions.Configuration.Binder/gen/Specs/TypeIndex.cs b/src/libraries/Microsoft.Extensions.Configuration.Binder/gen/Specs/TypeIndex.cs
index 029c6e848c7c1f..ef662f0ec4afdd 100644
--- a/src/libraries/Microsoft.Extensions.Configuration.Binder/gen/Specs/TypeIndex.cs
+++ b/src/libraries/Microsoft.Extensions.Configuration.Binder/gen/Specs/TypeIndex.cs
@@ -39,8 +39,13 @@ public bool HasBindableMembers(ComplexTypeSpec typeSpec) =>
 
         public bool ShouldBindTo(PropertySpec property)
         {
+            if (property.IsIgnored || !IsAccessible())
+            {
+                return false;
+            }
+
             TypeSpec propTypeSpec = GetEffectiveTypeSpec(property.TypeRef);
-            return IsAccessible() && !property.IsIgnored && !IsCollectionAndCannotOverride() && !IsDictWithUnsupportedKey();
+            return !IsCollectionAndCannotOverride() && !IsDictWithUnsupportedKey();
 
             bool IsAccessible() => property.CanGet || property.CanSet;
 
diff --git a/src/libraries/Microsoft.Extensions.Configuration.Binder/tests/SourceGenerationTests/GeneratorTests.cs b/src/libraries/Microsoft.Extensions.Configuration.Binder/tests/SourceGenerationTests/GeneratorTests.cs
index a6874b6a91b966..601b46d1a705d0 100644
--- a/src/libraries/Microsoft.Extensions.Configuration.Binder/tests/SourceGenerationTests/GeneratorTests.cs
+++ b/src/libraries/Microsoft.Extensions.Configuration.Binder/tests/SourceGenerationTests/GeneratorTests.cs
@@ -713,6 +713,140 @@ public class UnreachableChild
             AssertCanCreateAssemblyImage(result.OutputCompilation);
         }
 
+        [Theory]
+        [InlineData("private UnbindableType Lazy => UnbindableType.Create();")]
+        [InlineData("internal UnbindableType Lazy { get; set; }")]
+        [InlineData("protected UnbindableType Lazy { get; set; }")]
+        [InlineData("[ConfigurationIgnore] public UnbindableType Lazy { get; set; }")]
+        public async Task PropertyExcludedFromBindingDoesNotReportItsType(string propertyDeclaration)
+        {
+            string source = $$"""
+                using Microsoft.Extensions.Configuration;
+
+                public class Program
+                {
+                    public static void Main()
+                    {
+                        ConfigurationBuilder configurationBuilder = new();
+                        IConfigurationRoot config = configurationBuilder.Build();
+
+                        MySettings settings = new();
+                        config.Bind(settings);
+                    }
+                }
+
+                public sealed class UnbindableType
+                {
+                    private UnbindableType() { }
+                    public static UnbindableType Create() => new UnbindableType();
+                    public int Value { get; set; }
+                }
+
+                public class MySettings
+                {
+                    public int Supported { get; set; }
+                    {{propertyDeclaration}}
+                }
+                """;
+
+            ConfigBindingGenRunResult result = await RunGeneratorAndUpdateCompilation(source);
+
+            Assert.Empty(result.Diagnostics);
+            Assert.NotNull(result.GeneratedSource);
+
+            string generated = result.GeneratedSource.Value.SourceText.ToString();
+            Assert.Contains("instance.Supported = ", generated);
+            Assert.DoesNotContain("UnbindableType", generated);
+        }
+
+        [Fact]
+        public async Task UnbindableTypeIsStillReportedWhenAlsoReachedThroughABindableProperty()
+        {
+            // The excluded property is declared first, so it would be the one to pull the type into the graph.
+            string source = """
+                using Microsoft.Extensions.Configuration;
+
+                public class Program
+                {
+                    public static void Main()
+                    {
+                        ConfigurationBuilder configurationBuilder = new();
+                        IConfigurationRoot config = configurationBuilder.Build();
+
+                        MySettings settings = new();
+                        config.Bind(settings);
+                    }
+                }
+
+                public sealed class UnbindableType
+                {
+                    private UnbindableType() { }
+                    public static UnbindableType Create() => new UnbindableType();
+                    public int Value { get; set; }
+                }
+
+                public class MySettings
+                {
+                    [ConfigurationIgnore]
+                    public UnbindableType Excluded { get; set; }
+
+                    public UnbindableType Bindable { get; set; }
+                }
+                """;
+
+            ConfigBindingGenRunResult result = await RunGeneratorAndUpdateCompilation(source);
+
+            Assert.Contains(result.Diagnostics, diagnostic =>
+                diagnostic.Id == Diagnostics.PropertyNotSupported.Id &&
+                diagnostic.GetMessage(CultureInfo.InvariantCulture).Contains("'Bindable'"));
+
+            Assert.DoesNotContain(result.Diagnostics, diagnostic =>
+                diagnostic.GetMessage(CultureInfo.InvariantCulture).Contains("'Excluded'"));
+
+            Assert.Contains(result.Diagnostics, diagnostic => diagnostic.Id == Diagnostics.TypeNotSupported.Id);
+        }
+
+        [Fact]
+        public async Task NonPublicPropertyBackingConstructorParameterKeepsItsTypeRegistered()
+        {
+            // The binder cannot reach the property, but it does bind the constructor parameter it backs, so the
+            // type must stay registered and an unbindable one must still be reported.
+            string source = """
+                using Microsoft.Extensions.Configuration;
+
+                public class Program
+                {
+                    public static void Main()
+                    {
+                        ConfigurationBuilder configurationBuilder = new();
+                        IConfigurationRoot config = configurationBuilder.Build();
+
+                        MySettings settings = config.Get<MySettings>()!;
+                    }
+                }
+
+                public sealed class UnbindableType
+                {
+                    private UnbindableType() { }
+                    public static UnbindableType Create() => new UnbindableType();
+                    public int Value { get; set; }
+                }
+
+                public class MySettings
+                {
+                    public MySettings(UnbindableType inner) => Inner = inner;
+
+                    private UnbindableType Inner { get; }
+                }
+                """;
+
+            ConfigBindingGenRunResult result = await RunGeneratorAndUpdateCompilation(source);
+
+            Assert.Contains(result.Diagnostics, diagnostic =>
+                diagnostic.Id == Diagnostics.PropertyNotSupported.Id &&
+                diagnostic.GetMessage(CultureInfo.InvariantCulture).Contains("'Inner'"));
+        }
+
         [Fact]
         public async Task BindingToCollectionOnlyTest()
         {