This is such a huge issue. Many of us feel exactly as you do. We go to great pains to describe our area accurately, people come and stay based on the decision they've made after gathering all of the info - rave about the stay and then boom - 4 stars for location. It's beyond maddening, and it's the issue that is keeping me from Superhost status as well. I was a Superhost for four years, lost it because of a cancelation and would be eligible again in February but my reviews are at 78%, almost exclusively because of location.
Deboarh has written some excellent posts about the star rating, but I'm afraid that I don't have the links handy. Do a search in this forum for "star ratings" and you might be able to find them right away.