Fictional settings, whether modern in the real world, sci-fi, fantasy, or paranormal, require some level of worldbuilding.
Setting should transport the reader to that location and not feel like it could have taken place anywhere. Worldbuilding is creating a fictional world that still feels realistic.
Details make all the difference in worldbuilding, and keep a setting from feeling generic. Highlight unique and quirky elements and integrate them into the storyline and character profiles.
When worldbuilding, consider which of these will be relevant to the story:
Layout and geography, what lies beyond the immediate setting, politics, laws, and governing systems, culture and traditions, weather, local plants and animals, jobs, economy, imports/exports, history, enemies, and allies, folklore and urban legends, details only locals would know, and the hero’s feelings and opinions about the place.
All of these will affect the character’s views, way of thinking, actions, choices, and lifestyle.
Details make the difference in worldbuilding, whether high fantasy or the corner coffee shop. However, the level of detail depends on the genre.
Unless the color of every mug in a coffee shop is relevant to the story, leave it out. Developing an intricate system of magical spell-creation requires a higher level of detail so the reader can understand the process.
Details MUST be relevant, no matter the genre.
What characters eat can indicate location (coleslaw on pulled pork sandwiches in the south), income (another Ramen noodle dinner!), personality quirks (all food must be yellow), and more. Irrelevant details confuse readers and cause them to look for hints or twists where there aren’t any. Remember the advice that if you mention a gun in scene 1, it better be fired by someone by the end of the story!
Once you have the foundation and are starting to add details, do so in logical layers.
Real world example:
Choose the city relevant to the story line -> choose a professional that makes sense for the location and character -> choose a neighborhood with access to or amenities that will help progress the story -> choose frequently visited locations that provide opportunities for conversations, action, or conflict -> develop hobbies that allow for character growth, etc.
Choose a mythology base -> tweak the base to suit major plot points -> develop main powers/beasts that provide conflict between two or more groups -> develop rules for powers/beasts that keep winning from being too easy -> develop goals for each opposing group -> develop individuals goals that clash with others/the group -> develop individual power/beast uniqueness that needs to develop, etc.
In every genre there is a logical progression to worldbuilding and every element added should impact the characters and story in a meaningful way.