diff --git a/activerecord/lib/active_record/railtie.rb b/activerecord/lib/active_record/railtie.rb
index 878a4dac09cec4aac9fb37f585d897109de2a7c3..f3d21d4969e45ad0d88693e7aee39ad98c9a2bbf 100644
--- a/activerecord/lib/active_record/railtie.rb
+++ b/activerecord/lib/active_record/railtie.rb
@@ -70,27 +70,23 @@ class Railtie < Rails::Railtie
       end
     end
 
-    initializer "active_record.add_observer_hook", :after=>"active_record.set_configs" do |app|
+    initializer "active_record.set_dispatch_hooks", :before => :set_clear_dependencies_hook do |app|
       ActiveSupport.on_load(:active_record) do
-        ActionDispatch::Callbacks.to_prepare(:activerecord_instantiate_observers) do
-          ActiveRecord::Base.instantiate_observers
+        unless app.config.cache_classes
+          ActionDispatch::Callbacks.after do
+            ActiveRecord::Base.reset_subclasses
+            ActiveRecord::Base.clear_reloadable_connections!
+          end
         end
       end
     end
 
-    initializer "active_record.instantiate_observers", :after=>"active_record.initialize_database" do
+    config.after_initialize do
       ActiveSupport.on_load(:active_record) do
         instantiate_observers
-      end
-    end
 
-    initializer "active_record.set_dispatch_hooks", :before => :set_clear_dependencies_hook do |app|
-      ActiveSupport.on_load(:active_record) do
-        unless app.config.cache_classes
-          ActionDispatch::Callbacks.after do
-            ActiveRecord::Base.reset_subclasses
-            ActiveRecord::Base.clear_reloadable_connections!
-          end
+        ActionDispatch::Callbacks.to_prepare(:activerecord_instantiate_observers) do
+          ActiveRecord::Base.instantiate_observers
         end
       end
     end