diff --git a/installer/lib/mix/tasks/phx.new.ex b/installer/lib/mix/tasks/phx.new.ex
index b37d02a4fc..e880431e1e 100644
--- a/installer/lib/mix/tasks/phx.new.ex
+++ b/installer/lib/mix/tasks/phx.new.ex
@@ -156,8 +156,11 @@ defmodule Mix.Tasks.Phx.New do
         Mix.Tasks.Help.run(["phx.new"])
 
       {opts, [base_path | _]} ->
-        generator = if opts[:umbrella], do: Umbrella, else: Single
-        generate(base_path, generator, :project_path, opts)
+        if opts[:umbrella] do
+          generate(base_path, Umbrella, :project_path, opts)
+        else
+          generate(base_path, Single, :base_path, opts)
+        end
     end
   end
 
diff --git a/installer/lib/phx_new/single.ex b/installer/lib/phx_new/single.ex
index cab25854a1..9c6cffc67c 100644
--- a/installer/lib/phx_new/single.ex
+++ b/installer/lib/phx_new/single.ex
@@ -10,7 +10,7 @@ defmodule Phx.New.Single do
      "phx_single/config/prod.exs": "config/prod.exs",
      "phx_single/config/runtime.exs": "config/runtime.exs",
      "phx_single/config/test.exs": "config/test.exs"},
-    {:eex, :project,
+    {:eex, :web,
      "phx_single/lib/app_name/application.ex": "lib/:app/application.ex",
      "phx_single/lib/app_name.ex": "lib/:app.ex",
      "phx_web/controllers/error_json.ex": "lib/:lib_web_name/controllers/error_json.ex",
@@ -26,7 +26,7 @@ defmodule Phx.New.Single do
      "phx_single/test/test_helper.exs": "test/test_helper.exs",
      "phx_test/controllers/error_json_test.exs":
        "test/:lib_web_name/controllers/error_json_test.exs"},
-    {:keep, :project,
+    {:keep, :web,
      "phx_web/controllers": "lib/:lib_web_name/controllers",
      "phx_test/controllers": "test/:lib_web_name/controllers"}
   ])
@@ -102,15 +102,19 @@ defmodule Phx.New.Single do
     {:eex, :app, "phx_mailer/lib/app_name/mailer.ex": "lib/:app/mailer.ex"}
   ])
 
-  def prepare_project(%Project{app: app} = project) when not is_nil(app) do
-    %Project{project | project_path: project.base_path}
+  def prepare_project(%Project{app: app, base_path: base_path} = project) when not is_nil(app) do
+    if in_umbrella?(base_path) do
+      %Project{project | in_umbrella?: true, project_path: Path.dirname(Path.dirname(base_path))}
+    else
+      %Project{project | in_umbrella?: false, project_path: base_path}
+    end
     |> put_app()
     |> put_root_app()
     |> put_web_app()
   end
 
   defp put_app(%Project{base_path: base_path} = project) do
-    %Project{project | in_umbrella?: in_umbrella?(base_path), app_path: base_path}
+    %Project{project | app_path: base_path}
   end
 
   defp put_root_app(%Project{app: app, opts: opts} = project) do
@@ -127,7 +131,7 @@ defmodule Phx.New.Single do
       | web_app: app,
         lib_web_name: "#{app}_web",
         web_namespace: Module.concat(["#{project.root_mod}Web"]),
-        web_path: project.project_path
+        web_path: project.base_path
     }
   end
 
diff --git a/installer/test/phx_new_test.exs b/installer/test/phx_new_test.exs
index be2e4db816..75d8744d1b 100644
--- a/installer/test/phx_new_test.exs
+++ b/installer/test/phx_new_test.exs
@@ -598,7 +598,11 @@ defmodule Mix.Tasks.Phx.NewTest do
           assert file =~ "deps_path: \"../../deps\""
           assert file =~ "lockfile: \"../../mix.lock\""
         end)
+
+        refute_file("phx_blog/config/config.exs")
       end)
+
+      assert_file("config/config.exs", "PhxBlogWeb.Endpoint")
     end)
   end