Hmm... I never really thought about it...
My home will probebly be level 4.
It depeneds mainly on accesibility. If it\'s not too much of a problem to go every day up and down the stairs every day, and if there will be services close by (e.g. merchants, smithy, etc).
Btw, all you guys that say they want to live in the lowest levels, don\'t forget that both the 8th and 7th levels are usually submerged. So unless you can breathe underwater, it might be a bad idea to live there...