I see the point and agree - just adding some nuance:
In the authentication realm, relatively authentic location is pretty useful. As a defender, reducing the cost of an attacker faking the location of an MFA prompt trigger ... makes things worse. (May still be worth the trade-off, though - YTMMV)
Totally agreed - the tricky part is that an attacker can use the same layer to lie to an authentic app. (But that use case may be more rare than the ones you're advocating for!)
@Tedspence
To clarify, I'm thinking of the use case where the legitimate user who is being presented with an MFA prompt is also presented with the location that the original authentication request came from, as a rough way to discern MFA triggers initiated by an attacker who has guessed or stolen their password. The user is shown a location name, and/or map where the request came from. This is an MFA fatigue/bombing countermeasure (that isn't perfect, but does raise the cost to the attacker).
And to further clarify, I suspect that what you're after is worth this trade-off. It's just something that defenders need to keep in mind as well.