Tutorial 14: Local Coding Assistant Setup

By Jakub RusinowskiLast updated 8 min readAdvanced

Replace GitHub Copilot with a free, private local alternative in VS Code.

This tutorial has grown into a full hub. For current model rankings by VRAM tier, tool comparisons (Continue vs Cline vs Aider vs Tabby), and the complete walkthrough, see the Coding Agents Hub.

1. The Short Version (2026)

  • Install Ollama, then pull a coding model for your hardware: starcoder2:7b (8 GB VRAM), devstral-small-2:24b (16 GB), or qwen3.6:27b (24 GB).
  • Install Continue from the VS Code Marketplace and set its provider to ollama.
  • Add starcoder2:3b as the dedicated autocomplete model — ghost text needs low latency, not size.

2. Features You Get

  • Autocomplete: ghost text as you type, served from your own GPU.
  • Chat: Highlight code and press Cmd+L to ask questions about it.
  • Edit: Highlight code and press Cmd+I to instruct the AI to refactor it.

3. Going Further