diff --git a/.changeset/odd-moles-notice.md b/.changeset/odd-moles-notice.md
new file mode 100644
index 0000000000..8cc82c93dc
--- /dev/null
+++ b/.changeset/odd-moles-notice.md
@@ -0,0 +1,5 @@
+---
+'@backstage/create-app': patch
+---
+
+Updated the template to have the `'/test'` proxy endpoint in `app-config.yaml` be commented out by default.
diff --git a/packages/create-app/templates/default-app/app-config.yaml.hbs b/packages/create-app/templates/default-app/app-config.yaml.hbs
index 1a45d4015b..3b5de8baa3 100644
--- a/packages/create-app/templates/default-app/app-config.yaml.hbs
+++ b/packages/create-app/templates/default-app/app-config.yaml.hbs
@@ -46,9 +46,11 @@ integrations:
     #   token: ${GHE_TOKEN}
 
 proxy:
-  '/test':
-    target: 'https://example.com'
-    changeOrigin: true
+  ### Example for how to add a proxy endpoint for the frontend.
+  ### A typical reason to do this is to handle HTTPS and CORS for internal services.
+  # '/test':
+  #   target: 'https://example.com'
+  #   changeOrigin: true
 
 # Reference documentation http://backstage.io/docs/features/techdocs/configuration
 # Note: After experimenting with basic setup, use CI/CD to generate docs