Yes It seems I won't get that quote. At this point, it sounds more like 0.5 points and $2000 closing including appraisal. Still not bad.
I complained to them that's not what I was quoted and I don't want to pay points, but so far no answer... :)
Contacted a few different lenders, Amerisave was the cheapest. Trying to close 30y at 3.875% with some money back. I will let you know how the process goes.