Kotaku has made an interesting article about Hyrule Castle and why they think that no one would be able to afford to live in Hyrule Castle, unless they were pretty much millionaires.
An infographic by Movoto has shown that Hyrule Castle would possibly upwards to $113,807,400. Not only that, they have placed that Ocarina of Time‘s Hyrule was based on the Tuscany area of Italy.
The Gerudo Desert: This was one of the tricky parts. Sure it was easy to find places with forests, fields, and even mountains—but to throw a desert in there? C’mon, geography! But in Tuscany, Italy there is the Accona Desert. In fact, it even lies to the west, much like Gerudo in the game.
The Volcano: Now this was another reason Hyrule had to be Tuscany: Larderello Volcano. Surrounding Larderello volcano is the village of Larderello, aka Kakariko Village from the game. And surrounding the village, mountainous terrain where if you look hard enough, you’ll probably find some Gorons wandering around.
The Lost Woods/Kokiri Forest: Berignone Forest, one of the largest forests and today, natural reserves in Tuscany.
Lake Hylia: Lake Montedoglio is nestled in the Province of Arezzo in Tuscany. This lake has been well-known for its fishing for years and years. (But sorry, I couldn’t find a real-life tunnel to Zora’s Domain.)
Lon Lon Ranch and surrounding field: The closest I found to Lon Lon Ranch was Podere Palazzone, a famous horse ranch in Tuscany. It is surrounded by miles and miles of green grassland, perfect for Epona to stretch her legs.
Hyrule Market/Hyrule Castle: Finally, the reason we’re all here: The castle. I thought since Hyrule Village is the capital city of the land of Hyrule in the game, it would only do to equate it to the capital of Tuscany: Florence. The Market in the game is the city of Florence, similar to how it actually was around 1400—merchants, mask shops, potions, painters, a large cathedral (the Duomo around 1400 was not the elaborate marble and colorful masterpiece that we see today; it was grey, tall, and austere—much like the Temple of Time.)
And if I haven’t already out-nerded myself, one final reason the land of Hyrule must be Tuscany, Italy: The ocarina. The first use of the ocarina in western civilization was in Italy centuries ago.