But back on topic- my thoughts on location.
Location definitely does matter and some are better than others. Now, with that being said, it's not the only thing that matters and a good coach can be successful in a 'bad' location while an average coach won't be unbeatable in a 'good' location. The advantage isn't that great that it will turn a garbage coach into a stud one.
I think what has changed in 3.0 in regards to location is that you can now recruit up so much higher than before so having less competition around you can really be advantageous. Let's say you're D2 in Texas which is a good state for recruits. Normally this is a good spot but not one of the 'prime' locations. But let's say there aren't any other D2 teams in Texas and the D1 humans are pretty sparse or mediocre. Now this location becomes GREAT because you're able to clean up in a recruiting hotbed and only need to compete against sims for recruits.