Thanks for the advice guys, its been helpful. A few follow up questions:
Tide, do you speak from experience about the qualifications. I've read the policies regarding the different GS levels and, while you need a PhD or extensive experience to land something 12 or higher, thats not the case for the lower levels. Has it become so competitive that PhD's are taking GS 9 positions?
That leads me to another question:
If a fed agency has a vacancy that they could fill at multiple levels, how do they determine which level to fill it with. Do they generally go with the most highly qualified person that makes it through the process, or do they try to do it on the cheap and hire at the lowest grade that can get the job done? Or is it something entirely different?
Thanks again guys.
By the way, I've yet to develop a bubble to burst

. Luckily I am still employed so I am not desperate yet, but my wife will be starting school in another state in the fall and if I dont find something local I will be forced to stay where I am and travel to see her and my son on the weekends. I'm trying to avoid that at all costs but it still beats the alternative.