I think location can affect musical tastes, but not in the 'I live three kilometres away from where Eric Clapton used to walk his dog' sense... I reckon it's more to do with culture, as Drexle accurately stated. If you live in an area with a rock population of zero, it's hard to get into rock and metal music, as you don't have the exposure to new music and the encouragement that you get being part of a metal community.
Before I started hanging around with a group of metalheads not too far from where I live, all I listened to was Dio, Sabbath, Iron Maiden, Motorhead, Alice Cooper, etc... basically my dad's record collection. After that, my mates got me into nu-metal. These mates then introduced me to others who were into punk, who introduced me to death metal fans... and everything kind of snowballed from there, so now I'm the cross-genre loving freak that I am.
If I was hanging around with another group of people, I may be lsitening to Steps right now...