I say f**k a one hour commute...your time is too valuable.
I think when you find yourself really hating that 2 hours out of your day is spent commuting, you're not going to be saying to yourself, "...but I saved big time money on this house, and that more than makes up for this miserable existence."
Granted, I'm biased in that I REALLY hate commuting. So for me it would be miserable.
I guess it also depends on your situation. Trying to juggle my work schedule, my wife's school schedule, my daughter's school schedule and all her extra curricular activities, plus the everyday things necessary to keep a household running smoothly, I already find it hard to find time to train. If I had to take away two hours out my day just to get to and from work, than something else in my schedule would have to go. Or I would just get less sleep....negative.
And from your description, it's not just the commute to work...any time you need to get things, run errands, go to dinner or go out with friends, it's going to be a two hour round trip into town where all those things are.
IMO, to hell with that.