I use this setup primarily to have at least some sort of a barrier between my system and the gigabytes of NPM packages that get downloaded as dependencies. Moving between systems easy as well - I just copy the VM images. It also makes it easy to experiment a little bit. If I want to e.g. upgrade an important package and something goes wrong, I just revert the VM and I'm back in business. Having Arch as the distro is a nice bonus.
There's a chance that IntelliJ IDEs will get the same remote functionality as well but the timeline is unclear [1].
[0] https://code.visualstudio.com/docs/remote/remote-overview