Dillard's housing stock reflects its character as a small mountain town and seasonal destination. Homes range from older cottages and frame houses near the town center to mountain cabins and newer homes on wooded lots in the surrounding hills. The area's popularity as a second-home and retirement destination means a portion of the housing serves seasonal residents. Lots vary widely, from in-town parcels to larger wooded tracts, and many homes are oriented toward mountain views. The market is modest in scale, matching the town's small population.

Dillard is small enough that it functions more as a single village than as a collection of distinct neighborhoods. The town center, with the Dillard House and local businesses, anchors the community along the U.S. Route 441 corridor, while residential streets and lanes spread into the surrounding foothills. Homes are interspersed with open mountain land, giving the town a rural, spread-out feel rather than a dense grid. The proximity of the North Carolina line and the surrounding national forest lands reinforces Dillard's mountain setting throughout.

Dillard offers the lifestyle of a small Blue Ridge mountain town. The Dillard House anchors the town's social and culinary life, drawing visitors for its family-style Southern meals, while antique shops and mountain businesses line the local streets. The pace is unhurried, and the community is oriented toward the outdoors, with hiking, fishing, and scenic drives among the area's daily pleasures. Nearby Clayton provides everyday services, and the resort communities of Sky Valley and Highlands, North Carolina, extend dining and recreation options. The town's mountain setting and cooler elevations are central to its appeal.

Dillard's public schools are part of the Rabun County School District, which serves the town and the rest of the county, including the county seat of Clayton. The district operates the area's elementary, middle, and high schools. Rabun County's small student population gives the schools a close-knit, community-oriented character. For higher education, North Georgia Technical College and Young Harris College are within a reasonable drive, and larger institutions in the region are accessible for students continuing beyond high school.

Dillard sits on U.S. Route 441, the principal highway through the mountains of northeast Georgia, connecting the town north to Franklin, North Carolina, and south through Clayton toward Athens and Atlanta's northern exurbs. The road follows a scenic mountain corridor and is the town's main transportation link. The nearest interstate, Interstate 85, lies well to the south, so travel is primarily on state and U.S. highways through mountain terrain. Regional airports in the Asheville, Atlanta, and Greenville areas provide the nearest commercial air service.

Dillard's recreation is defined by the Blue Ridge Mountains. Hiking trails, scenic overlooks, and trout streams surround the town, with Black Rock Mountain State Park and Tallulah Gorge State Park within a short drive. Lake Rabun and Lake Burton offer boating and fishing in the nearby mountain lakes, and the Sky Valley resort provides golf and winter recreation just to the north. The area's waterfalls, forest roads, and the nearby Appalachian Trail corridor make Dillard a base for exploring the high country of northeast Georgia and western North Carolina.