I just created two projects to reproduce your error, one locally and one in codesandbox: I couldn't reproduce it.

So what I suggest you to do is to create an empty project, with the same basic config of your current one, and just add the api folder first, test it and check my basic project here where I pull the message from the transform api using your same route.

https://codesandbox.io/p/devbox/swgnk9

Rendering title from API

API Response