Glad to help. This is latest version of live search and did not have this issue on earlier version.
The error is not related to location but occurs on any route.
Case:
Windows Mobile Live Search
Louisville, KY to Nashville, TN 281.41 miles 2h 36 m drive time
Maps.Live.com
Louisville, KY to Nashville, TN 174. miles 2h 36m drive time
I picked this as illustration because I have driven this hundreds of time and maps.live.com is right on.
Notice the drive time is always right. The distance looks to be 1.5 X correct value.
New information: The number is 1.6xx times. That is the conversion factor for miles to kilometers!
Robert Tankersley