Welcome, JRWNewTO:
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1. I would prefer to locate my antenna in the attic, is this realistic? Will I miss out on better reception if mount on side of house for example?
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The signal loss in the attic is difficult to predict. Your antenna will probably be OK for the Toronto channels, but Buffalo might be difficult, especially NBC. On the side of the house would depend upon which side, how high, and if there are any trees or other buildings in the signal path.
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2. I have a TV in the kitchen and a TV in the living room. I thought I'd run the cable down to basement where existing/wire splitter is. Does this sound reasonable?
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That could work, depending upon the length of the coax runs and the splitter. A distribution amp might be needed if you want Toronto AND the weaker Buffalo channels.
You might need a preamp at the antenna or a distribution amp, but not both.
The problem is that the weaker Buffalo signals might need a preamp, but the strong Toronto signals would overload the preamp. Try without a preamp first.
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4. What antennae would u recommend?
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You have signals coming from different directions; an antenna should be aimed at the transmitter for best results. If you can do without the Hamilton channels, it's just Toronto and Buffalo.
If you aim the antenna at Buffalo, some of the Toronto channels might be OK, but don't count on it. I doubt that "splitting the difference" will work.
If you can do without WBBZ on real VHF-High channel 7, then a UHF antenna for real channels 14 to 51 like an Antennas Direct DB4e might work.. If you must have WBBZ, then you will need a VHF/UHF combo antenna like the Winegard HD7694P.
Try a temporary setup of the antenna in the attic with one TV before drilling any holes. Try different locations and different directions. If your TV has a signal strength indicator, that will help.
You might have to decide which direction you want with one antenna, or have two antennas with an A/B switch.