Howdy Patty!
Well, as my screenname indicates I'm a native of Lancaster, and I can't help but feel that Lancaster is a wonderful place to be!
It has the slower pace and friendly attitudes you'd associate with a small town, but still has amenities like a mall, nice restaurants, etc. that you'd expect in a city much larger.
The hospital that serves Lancaster is
Fairfield Medical Center.
College-wise, Lancaster is served by its own branch campus of Ohio University (
OUL). There's also a "community college"-type school called Eastland-Fairfield (commonly called
Fairfield Career Center) that's very popular.
Things you'll find in Lancaster and nowhere else:
- The town's "pet rock" a/k/a Mount Pleasant, a 300-ft. sandstone cliff in Rising Park, from the top of which is a breathtaking view of half the county.
- The Fairfield Co. Fairgrounds, which served as a set in the filming of Green Grass of Wyoming. It annually hosts the oldest (1850s) and last (2nd week of October) county fair in Ohio.
- Square 13/Lancaster Historic District, a charming collection of early 19th-c. homes and churches. A few of the homes are open to the public now as museums. Annual tours are also given--houses usually in the summer, and the churches at Christmas.
- The Lancaster Festival, a 10-day annual summer blowout of music, arts, culture and socializing that rivals anything in Columbus.
If you're into older homes, the best areas to live in Lancaster are up near Rising Park or down in the Historic District. If you'd prefer something newer, north and east sides are generally your best bet—specifically "Pill Hill" (Sycamore Dr. up the hill from Kanawha Rd.) and "Wacker Heights" (large area between Sheridan Dr. and Rte. 37, off Rainbow Dr. and other avenues).
There are also starting to appear some of the standard post-1990s McMansions you see everywhere else in America—complete w/substandard modern construction, etc.

These are mostly out by the mall.
Hope this helps, and best of luck to you!

Lanc