[kspeed]

Are you hearing buzz when you hold down the first fret? Does it happen when you play acoustically or amplified or both? Or is it just really hard to push down on the first fret? If it's the latter, the nut's probably too high, but if you could snap us some pictures that would help a lot.

It's impossible to say what the ideal height is for any given electric guitar. It all depends on neck angle (is the neck perfectly parallel with the back of the body or is it angled?), the type of bridge, how high that bridge is set, even the gauge of string.

For most people the "best" action is as low as it can get with slight buzz played acoustically, but not enough to be amplified. Others, such as Stevie Ray Vaughan, preferred relatively high action/neck relief to improve sustain and output.

C/N: It all depends the guitar and your playing style. For most people it's "the lower the better" but that doesn't come close to covering everybody.