I started drawing on the map you posted but I realized a few of the houses are in different spots so idk if that map is outdated or your dream town is, lol. Anyway it ended up not looking that different so I honestly don't know how much my advice is going to help, BUT
The main things I'd recommend are:
1. My main personal rule is having my paths all be as straight as possible, only shifting when completely necessary, like if there's rock or body of water in the way. I noticed in the places where your paths go diagonal, they don't really need to be? Idk if those are your attempts to make areas look less "boxed" but I find diagonal paths just look really messy because of the way tiles are laid. I would dig up the bushes and straighten the paths out. Of course if you like the diagonal paths, bushes do make them look neater so I'd plant them more consistently.
2. Get rid of any path that isn't necessary, especially if it runs closely parallel to another path. Having too many paths in close vicinity may be what's making areas look "boxed", and getting rid of some would open up areas for PWPs and whatever else. For example I don't think Lolly's house needs to be boxed in on all four sides, maybe get rid of the part going up the right side? Another example is to the left of the plaza, particularly where the fountain is boxed in. There are three vertical paths that are pretty close to each other there -- the one going down the left of the fountain, the one going down the right of the fountain, and the one going up into the plaza. I would get rid of one or two of those. (I know the middle one is leading to the bridge so probably not that one unless you want to move the bridge?)
3. Unless Lily's house is purposely out of the way, and if you're willing, I'd demolish her house and shift it a few spaces up and to the left, because it's way too close to the edge to make a nice path to it lol.
Those are just a few tips to get you started bc it's really hard to visualize an entire path system at once esp. when I can't move and lay paths myself. My own paths took a lot of trial and error over probably several months to see what worked and what didn't. I think you have a really good foundation to work with (and cute patterns too!!) so you're already halfway there, now it's just a matter of fine tuning them.
I think what would help the most is visiting dream towns to see how other people do their paths (including my own if you'd like, my paths are complete and landscaping about 95% complete) because seeing what you love and hate about others' paths might help you decide what to do (and what not to do) with your own.
(I apologize for the huge wall of text!!!!!)