I think there are two issues here, in my situation at least.
1. People DO NOT READ. So, a host can go out of their way to accurately describe the location and distances, but that won't stop many guests showing up with unrealistic expectations. The most common questions I get from prospective guests (aside from 'Can I check in/drop off bags early?') are related to location, and the information they ask is almost always already there plain as day on the listing.
2. People are often quite clueless about the place they are travelling to or have a pre-conceived but totally inaccurate idea of what it will be like. In London, for example, they think central means walking out of the door and bumping into Big Ben. They don't realise that London is vast and if you are in Zone 1 or 2 (not 6 or 7!), you are very central indeed.
They also often have some fantasy image from film and literature, as mentioned above. Even non-period films like Notting Hill present a completely inaccurate and white-washed version of London. Some guests expect it to be all vicars on bicycles, cream teas and croquet, which is obviously absurd given that it's one of the biggest, fastest and most multi-cultural cities in the world.
This week I had a guest give three stars for location and mark me down on accuracy because, although the location was 'interesting' and very convenient, she thought it 'looked really bad' as did the exterior of my house. I was a bit surprised by this given that it's a conservation area due to the number of architecturally important Georgian, Regency and early Victorian houses like mine. I guess that she wasn't expecting social housing alongside this, but anyone who knows London also knows that this mix is typical of most neighbourhoods. The majority of London is not Knightsbridge and Belgravia!!