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Can anyone tell me the rules for house placement? (ie Guard zones and proximity to towns etc)
Thanks

Hmmm, not on farmland or sand, though I believe thats actually disabled so you probably don't need to run afowl of that.

Not really a rule as such but some people get cranky if you place a house really close to thiers, but there is lots of available space for placment so that shouldnt be too much of a problem.

Easiest rule is not to place your house in any "kewl" place and everybody is happy.

Try not to stick your house on a road