Fayetteville's housing stock reflects its history as a small, established Texas town. The community offers older homes near the historic square, many with traditional architecture, along with some newer construction and rural acreage in the surrounding Fayette County countryside. The overall character is small-town and unpretentious, with a greater emphasis on historic character and space than on large-scale development. Buyers are typically drawn by the town's heritage atmosphere, the quiet rural setting, and the proximity to Round Top's antiques venues, with the option of larger properties on the edges of town.

Fayetteville is organized around its historic square and the compact street grid surrounding it, where older homes and commercial buildings sit close together in a traditional small-town pattern. Beyond the square, residential streets extend outward and quickly give way to the open countryside of Fayette County, where larger lots, farmsteads, and rural acreage become the norm. This structure gives the town a clear center of gravity and a genuine historic feel, with the transition from town to country occurring within just a few blocks of the square.

Life in Fayetteville is quiet and rooted in the town's history and the surrounding countryside. The historic square anchors daily activity, with antique stores, specialty shops, and local gathering places giving the town a distinctive, heritage-oriented character. The annual Lickskillet Festival in October brings the community together and draws visitors from across the region. Residents value the slow pace, the rural landscape, and the strong sense of place that comes from the town's German and Czech settlement roots, while Round Top's renowned antiques scene and the amenities of La Grange remain close at hand.

Fayetteville is served by the Fayetteville Independent School District, a small public district that provides kindergarten through twelfth grade education for the community and the surrounding rural area of Fayette County. As is typical of small-town Texas districts, the local schools function as central community institutions, drawing students from a spread-out rural population and fostering close ties between families and educators. The district's compact scale keeps education local and personal, reinforcing the close-knit character of the community.

Fayetteville sits on the rural highway network of Fayette County, reached via State Highway 159 and nearby routes, with U.S. Highway 290 providing broader regional access between Austin and Houston. The county seat of La Grange lies nearby, and Round Top is a short drive away. Travel is overwhelmingly by car, consistent with the town's small, rural character, and the community functions as a quiet stop within a region known more for its countryside and heritage destinations than for major transit corridors.

Recreation in Fayetteville is closely tied to its heritage and rural setting. The Lickskillet Festival each October is the community's signature event, and the historic square and its shops provide year-round local activity. The surrounding Fayette County countryside offers open space for walking, cycling, and country living, while nearby Round Top draws visitors to its antiques venues and seasonal shows. The town's location between Austin and Houston places additional cultural and recreational amenities within reach, while day-to-day recreation remains grounded in the quiet, historic atmosphere of the town itself.