diff --git a/web/src/compose_recipient.ts b/web/src/compose_recipient.ts
index 0f6b4c3fea..04ab675280 100644
--- a/web/src/compose_recipient.ts
+++ b/web/src/compose_recipient.ts
@@ -267,33 +267,6 @@ function get_options_for_recipient_widget(): Option[] {
     return options;
 }
 
-function compose_recipient_dropdown_on_show(dropdown: tippy.Instance): void {
-    // Offset to display dropdown above compose.
-    let top_offset = 5;
-    const window_height = window.innerHeight;
-    const search_box_and_padding_height = 50;
-    // pixels above compose box.
-    const recipient_input_top = $("#compose_select_recipient_widget_wrapper").get_offset_to_window()
-        .top;
-    const top_space = recipient_input_top - top_offset - search_box_and_padding_height;
-    // pixels below compose starting from top of compose box.
-    const bottom_space = window_height - recipient_input_top - search_box_and_padding_height;
-    // Show dropdown on top / bottom based on available space.
-    let placement: tippy.Placement = "top-start";
-    if (bottom_space > top_space) {
-        placement = "bottom-start";
-        top_offset = -30;
-    }
-    const offset: [number, number] = [-10, top_offset];
-    dropdown.setProps({placement, offset});
-    const height = Math.min(
-        dropdown_widget.DEFAULT_DROPDOWN_HEIGHT,
-        Math.max(top_space, bottom_space),
-    );
-    const $popper = $(dropdown.popper);
-    $popper.find(".dropdown-list-wrapper").css("max-height", height + "px");
-}
-
 export function open_compose_recipient_dropdown(): void {
     $("#compose_select_recipient_widget").trigger("click");
 }
@@ -330,11 +303,15 @@ export function initialize(): void {
         get_options: get_options_for_recipient_widget,
         item_click_callback,
         $events_container: $("body"),
-        on_show_callback: compose_recipient_dropdown_on_show,
         on_exit_with_escape_callback: focus_compose_recipient,
         // We want to focus on topic box if dropdown was closed via selecting an item.
         focus_target_on_hidden: false,
         on_hidden_callback,
+        dropdown_input_visible_selector: "#compose_select_recipient_widget_wrapper",
+        prefer_top_start_placement: true,
+        tippy_props: {
+            offset: [-10, 5],
+        },
     }).setup();
 
     // `input` isn't relevant for streams since it registers as a change only
diff --git a/web/src/dropdown_widget.ts b/web/src/dropdown_widget.ts
index 3ef5ef9d17..46074c54f3 100644
--- a/web/src/dropdown_widget.ts
+++ b/web/src/dropdown_widget.ts
@@ -67,6 +67,8 @@ type DropdownWidgetOptions = {
     hide_search_box?: boolean;
     // Disable the widget for spectators.
     disable_for_spectators?: boolean;
+    dropdown_input_visible_selector?: string;
+    prefer_top_start_placement?: boolean;
 };
 
 export class DropdownWidget {
@@ -96,6 +98,8 @@ export class DropdownWidget {
     text_if_current_value_not_in_options: string;
     hide_search_box: boolean;
     disable_for_spectators: boolean;
+    dropdown_input_visible_selector: string;
+    prefer_top_start_placement: boolean;
 
     constructor(options: DropdownWidgetOptions) {
         this.widget_name = options.widget_name;
@@ -123,6 +127,9 @@ export class DropdownWidget {
             options.text_if_current_value_not_in_options ?? "";
         this.hide_search_box = options.hide_search_box ?? false;
         this.disable_for_spectators = options.disable_for_spectators ?? false;
+        this.dropdown_input_visible_selector =
+            options.dropdown_input_visible_selector ?? this.widget_selector;
+        this.prefer_top_start_placement = options.prefer_top_start_placement ?? false;
     }
 
     init(): void {
@@ -159,6 +166,57 @@ export class DropdownWidget {
         }
     }
 
+    adjust_dropdown_position_post_list_render(tippy_instance: tippy.Instance): void {
+        let top_offset = 0;
+        let left_offset = 0;
+
+        // Use offset if provided by the widget callers.
+        if (typeof this.tippy_props?.offset === "object" && this.tippy_props?.offset.length === 2) {
+            left_offset = this.tippy_props.offset[0];
+            top_offset = this.tippy_props.offset[1];
+        }
+
+        const window_height = window.innerHeight;
+        let dropdown_search_box_and_padding_height = 50;
+        if (this.hide_search_box) {
+            dropdown_search_box_and_padding_height = 0;
+        }
+        const dropdown_input_props = $(this.dropdown_input_visible_selector).get_offset_to_window();
+        const dropdown_input_top = dropdown_input_props.top;
+
+        // Pixels above the dropdown input.
+        const top_space = dropdown_input_top - top_offset - dropdown_search_box_and_padding_height;
+        // Pixels below the top of dropdown input.
+        const bottom_space =
+            window_height - dropdown_input_top - dropdown_search_box_and_padding_height;
+
+        // Show dropdown at bottom by default if we `DEFAULT_DROPDOWN_HEIGHT`
+        // space available unless the dropdown caller prefers to show at top.
+        // If we don't have `DEFAULT_DROPDOWN_HEIGHT` space available above
+        // or below the dropdown input, show the dropdown at maximum space.
+        let placement: tippy.Placement = "top-start";
+        let height: number = Math.min(DEFAULT_DROPDOWN_HEIGHT, Math.max(top_space, bottom_space));
+        if (this.prefer_top_start_placement && top_space > DEFAULT_DROPDOWN_HEIGHT) {
+            height = DEFAULT_DROPDOWN_HEIGHT;
+        } else if (!this.prefer_top_start_placement && bottom_space > DEFAULT_DROPDOWN_HEIGHT) {
+            placement = "bottom-start";
+            height = DEFAULT_DROPDOWN_HEIGHT;
+            // Use the provided offset if we have enough space. Otherwise,
+            // we overlap the top of dropdown with top of dropdown input.
+            if (this.tippy_props?.offset === undefined) {
+                top_offset = -1 * dropdown_input_props.height;
+            }
+        } else if (bottom_space > top_space) {
+            placement = "bottom-start";
+            top_offset = -1 * dropdown_input_props.height;
+        }
+
+        const offset: [number, number] = [left_offset, top_offset];
+        tippy_instance.setProps({placement, offset});
+        const $popper = $(tippy_instance.popper);
+        $popper.find(".dropdown-list-wrapper").css("max-height", height + "px");
+    }
+
     show_empty_if_no_items($popper: JQuery): void {
         assert(this.list_widget !== undefined);
         const list_items = this.list_widget.get_current_list();
@@ -361,6 +419,7 @@ export class DropdownWidget {
                 }, 0);
 
                 this.on_show_callback(instance);
+                this.adjust_dropdown_position_post_list_render(instance);
             },
             onMount: (instance: tippy.Instance) => {
                 this.show_empty_if_no_items($(instance.popper));
diff --git a/web/src/integration_url_modal.ts b/web/src/integration_url_modal.ts
index 480fa419db..7a9e2f3e49 100644
--- a/web/src/integration_url_modal.ts
+++ b/web/src/integration_url_modal.ts
@@ -156,9 +156,6 @@ export function show_generate_integration_url_modal(api_key: string): void {
             get_options: get_options_for_integration_input_dropdown_widget,
             item_click_callback: integration_item_click_callback,
             $events_container: $("#generate-integration-url-modal"),
-            tippy_props: {
-                placement: "bottom-start",
-            },
             default_id: default_integration_option.unique_id,
             unique_id_type: dropdown_widget.DataTypes.STRING,
         });
@@ -194,9 +191,6 @@ export function show_generate_integration_url_modal(api_key: string): void {
             get_options: get_options_for_stream_dropdown_widget,
             item_click_callback: stream_item_click_callback,
             $events_container: $("#generate-integration-url-modal"),
-            tippy_props: {
-                placement: "bottom-start",
-            },
             default_id: direct_messages_option.unique_id,
             unique_id_type: dropdown_widget.DataTypes.NUMBER,
         });
diff --git a/web/src/settings_org.js b/web/src/settings_org.js
index 2712a4aa40..e4deb8c4cc 100644
--- a/web/src/settings_org.js
+++ b/web/src/settings_org.js
@@ -794,9 +794,6 @@ function set_up_dropdown_widget(
                 custom_dropdown_widget_callback(this.current_value);
             }
         },
-        tippy_props: {
-            placement: "bottom-start",
-        },
         default_id: realm[setting_name],
         unique_id_type,
         text_if_current_value_not_in_options,
diff --git a/web/src/settings_streams.ts b/web/src/settings_streams.ts
index f566afb6fb..0420928aca 100644
--- a/web/src/settings_streams.ts
+++ b/web/src/settings_streams.ts
@@ -76,9 +76,6 @@ function create_choice_row(): void {
         get_options,
         item_click_callback,
         $events_container: $container,
-        tippy_props: {
-            placement: "bottom-start",
-        },
     }).setup();
 }
 
diff --git a/web/src/settings_users.js b/web/src/settings_users.js
index e691d0510f..aaf5a3110f 100644
--- a/web/src/settings_users.js
+++ b/web/src/settings_users.js
@@ -170,7 +170,6 @@ function create_role_filter_dropdown($events_container, widget_name) {
         item_click_callback: role_selected_handler,
         default_id: "0",
         tippy_props: {
-            placement: "bottom-start",
             offset: [0, 0],
         },
     }).setup();
diff --git a/web/src/stream_edit.js b/web/src/stream_edit.js
index 8ed0ce5076..149229860f 100644
--- a/web/src/stream_edit.js
+++ b/web/src/stream_edit.js
@@ -228,9 +228,6 @@ function setup_dropdown(sub, slim_sub) {
             );
         },
         $events_container: $("#subscription_overlay .subscription_settings"),
-        tippy_props: {
-            placement: "bottom-start",
-        },
         default_id: sub.can_remove_subscribers_group,
         unique_id_type: dropdown_widget.DataTypes.NUMBER,
         on_mount_callback(dropdown) {
diff --git a/web/src/stream_popover.js b/web/src/stream_popover.js
index c9b2130e17..5dec8e4ce4 100644
--- a/web/src/stream_popover.js
+++ b/web/src/stream_popover.js
@@ -600,7 +600,6 @@ export async function build_move_topic_to_stream_popover(
             $events_container: $("#move_topic_modal"),
             tippy_props: {
                 // Overlap dropdown search input with stream selection button.
-                placement: "bottom-start",
                 offset: [0, -30],
             },
         }).setup();
diff --git a/web/src/stream_settings_components.js b/web/src/stream_settings_components.js
index 239c4f1a67..b470fef3d7 100644
--- a/web/src/stream_settings_components.js
+++ b/web/src/stream_settings_components.js
@@ -103,9 +103,6 @@ export function dropdown_setup() {
             new_stream_can_remove_subscribers_group_widget.render();
         },
         $events_container: $("#subscription_overlay"),
-        tippy_props: {
-            placement: "bottom-start",
-        },
         on_mount_callback(dropdown) {
             $(dropdown.popper).css("min-width", "300px");
             $(dropdown.popper).find(".simplebar-content").css("width", "max-content");
diff --git a/web/src/user_group_components.ts b/web/src/user_group_components.ts
index 4bc35afb4d..966ac53f8e 100644
--- a/web/src/user_group_components.ts
+++ b/web/src/user_group_components.ts
@@ -45,9 +45,6 @@ export function setup_permissions_dropdown(
             }
         },
         $events_container: $("#groups_overlay .group-permissions"),
-        tippy_props: {
-            placement: "bottom-start",
-        },
         default_id,
         unique_id_type: dropdown_widget.DataTypes.NUMBER,
         on_mount_callback(dropdown) {
diff --git a/web/src/user_profile.js b/web/src/user_profile.js
index fdea9e98b9..12ae4e8673 100644
--- a/web/src/user_profile.js
+++ b/web/src/user_profile.js
@@ -163,9 +163,6 @@ function render_user_profile_subscribe_widget() {
         get_options: get_user_unsub_streams,
         item_click_callback: change_state_of_subscribe_button,
         $events_container: $("#user-profile-modal"),
-        tippy_props: {
-            placement: "bottom-start",
-        },
     };
     user_profile_subscribe_widget =
         user_profile_subscribe_widget || new dropdown_widget.DropdownWidget(opts);
@@ -703,9 +700,6 @@ export function show_edit_bot_info_modal(user_id, $container) {
             get_options,
             item_click_callback,
             $events_container: $("#bot-edit-form"),
-            tippy_props: {
-                placement: "bottom-start",
-            },
             default_id: owner_id,
             unique_id_type: dropdown_widget.DataTypes.NUMBER,
         });
diff --git a/web/src/views_util.ts b/web/src/views_util.ts
index 9202751796..630df6c59e 100644
--- a/web/src/views_util.ts
+++ b/web/src/views_util.ts
@@ -23,7 +23,6 @@ export const FILTERS = {
 };
 
 const TIPPY_PROPS: Partial<tippy.Props> = {
-    placement: "bottom-start",
     offset: [0, 2],
 };