Do you care about realism?

You live in endless debt to a racoon surrounded by talking anthropomorphic rainbow animals, can cut wood from trees without ever cutting them down, can dig up entire trees after eating a single piece of fruit, have the strength to pull whale sharks from the ocean and can and will catch and hold tarantulas with your bare hands.

If people can't make their island some crazy whimsical landscape, then what's the point? lol
 
I think that unrealistic terraforming looks super cool, but personally I prefer my island to be a bit more realistic looking
 
Animal Crossing has always been cartoony though. Look at your character with their giant anime head, and animals that are anthropomorphized wearing clothes and talking.

I think it's completely fine to have an unrealistic island if you want.
 
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