Fantasy towns are often designed around a central terrain feature. This gives rise to places like mesa towns, cliffside villages, treetop cities, hillside burrows, and shipwreck towns. When designing towns for your fantasy world, consider how the local terrain impacts the layout of the town. This can quickly generate unique and interesting locations. Consider rivers, oases, sea stacks, cliffs, caves, and mangrove forests. Architectural elements, such as bridge networks, canals, underground areas and dock systems, can also be used to create memorable settlements.

Fantasy town architecture blends familiar styles, often inspired by medieval Europe, with fantastical flourishes. While half-timbered styles are common, buildings might be constructed from unusual materials like rough-hewn stone, salvaged shipwrecks, or even living fungi. Goblin towns, for example, might feature ramshackle structures built from scavenged scraps and scrap metal, while an elven town could showcase elegant, organic structures that seem to grow from the surrounding trees.

Fictional fantasy towns often feature a plethora of interesting or useful sites to visit. While sewer systems, alleyways, and rooftop areas may offer adventure and narrative opportunities, marketplaces, town squares, and fantasy town shops such as potion shops and healer’s may entice shoppers. Churches, temples, or other religious sites may be present if the world features a fictional religion or fictional gods. And as always, taverns and inns are a fantasy town staple.

Fantasy towns may have means of protecting themselves or guarding against attack. There may be town walls or palisades surrounding the settlement. Guards tasked with manning the gatehouse may only allow certain people in or admit only during certain hours. Watchtowers may be erected upon the town perimeter or atop nearby hills. And if the location is strategic, the town may feature a castle, fort, or outpost.

Fantasy towns are often categorized by the species that inhabit them. These locations take on aspects of their builders in ways that help reinforce the characteristics of those that live there.

Human settlements: These towns resemble real-world villages, towns, or cities, but with a fantastical twist. They may be bustling trade hubs, quiet farming communities, or frontier outposts on the edge of unexplored territory

Elven retreats: Elven towns are often depicted as being in harmony with nature, built into trees or hidden away in secluded glades surrounded by waterfalls. They may be characterized by elegant architecture and a focus on magic and knowledge.

Dwarf strongholds: Dwarven towns are typically carved into mountainsides or built deep underground. They are known for their impressive stonework, forges, and a strong focus on craftsmanship..

Goblin camps: Goblin towns are often chaotic and ramshackle, reflecting the goblin nature.