I've been working at home and travelling the world for over 5 years with our whole team completely distributed, managing over 30 people remotely for all of this time. I've seen it doesn't work for some people. If the person doesn't have a partner, is a bit too introverted, they can get into an anti-social pattern and not communicate enough, not get out of the house.
My experience is that this is the minority, maybe 5% maximum 10% of people. The majority love working from home and the benefits of greater flexibility and not having to travel to and from work each day more than compensate for any downside.