Well I thought it would look stupid WITH the capacitive buttons so I decided to turn them off and just keep the on screen buttons. My only gripe is that the 3 dot menu button doesn't seem to work everywhere. I'm running the latest build of Paranoid Android.
I don't know what kind of phone the OP would want. It's going to be very hard to find a good phone in 2012 at the size of the iPhone 4. The iPhone 4's screen is very small. All manufactures are making their flagship phones with bigger screens for a reason. 😛
This actually raises an interesting problem with Android: there are no well-specced or high-end devices that are iPhone-sized. Some people surely don't want a bigger screen or device, but Android doesn't really offer any worthwhile options.
It is not an Android problem. It is a hardware problem. On many larger Android-based phones, you can replace the SD-card, battery and in some cases a second SIM-card. The iPhone is smaller, because it does not have the mentioned replaceable components.
Btw, i need the screen size of the Galaxy Note II for maps, videos (no up- or downscaling necessary for 720p videos) and the web (wikipedia, MR, and so on).