Have seen some posts about the Hunter region but wanted to know about Muswellbrook specifically:

For an IP what areas should i be looking at and what areas/streets should be avoided ?

Stay away from Wollombi St.

There are ghetto areas of Mus. The nicer areas are up behind the new Aldi, and in the 'wine estates' (eg. Cabernet st) on the other side of town up towards.. well, north Muswellbrook.