I saw this question, and am surprised to see it being asked by another LO. The biggest problem here is that seeing as none of want to have anything taken out of our pay because we misquoted, or were off by more than 10%, we over-quote. We had the issue about putting transfer tax on the GFE as well. In MI you probably have more short sales and foreclosures, so it is more of an issue, but my company has determined that if we know it is not a short sale, foreclosure or new construction we do not have to disclose transfer tax. In NY we also have bank attorneys that have to be disclosed under settlement costs, so we jack that up in case for some reason there is an additional fee. Not to mention that if the person's attorney orders the title, they could be given much higher fees here for searches and recording.
Page 1 of the GFE also has its plusses and minusses, but you can clearly let someone know that the rate quote will not last. The question about interest rate rising is OK, if they only explained what they were really talking about. Clearly no professional really put this together.