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This is a research with the main objective to investigate the error rate in the location estimation of a wireless node, by considering the error rate of different terrains/clutters. Radio waves behave differently in different terrains. When the transmitted signal propagates through different terrains, the terrain impairments affect the transmitted signal. Because of the noise addition, the received signal value differs from the transmitted signal value. For location estimation this received signal is used as a primary value for parameters calculation. If we do not consider terrain impairments then it will not give an accurate position of wireless node. Therefore it is required to investigate the signal to noise ratio and the error rate in different terrains. In this research paper, we divide the terrain in twelve different categories based on the error rate of terrains. We use C# program with WiFi (IEEE 802.11 b/g) setup to calculate the receive signal quality from 0 (zero) to 150 meters in different terrains for this experiment. We construct an error rate table (ERT) by comparing the ideal condition data with different terrains data, which helps to minimize the possible location area. This research helps to minimize location estimation error rate by considering the terrain impairments.