Is it possible to create my own custom wordpress installation, like my own wordpress zip... with the exact settings i want (permalinks, update services, etc) with a theme and plugins. I hate continually doing the same long routine to get my niche sites all setup. Thanks.
Well, you can prepare your wound WP Pack, including your preferred WordPress version, your preferred theme and plugins, but you will have to set the database data every time you set up a new blog/site.
This is a guess or theory I have never tried. But you may be able to export the database of a new install after it is set the way you want it. (with no content on it) Then Import the database to all new installs. Has anyone done that before?
yep, you can probably do that(prepare the db dump), the only thing you will change is the domain and maybe the blogtitle option... also the wp-config should almost always be updated to match the db account details