Describing the Fake realm of HC is extremely complex, without a specific data. Throughout 3 games, we have learned a bit about False realm and the so-called True realm
On the other hand, considering the subject of the False realm, when it comes to the world itself, the tones and colours suggests the possible apocalyptic setting. Aliens eat soap... The workers in the house are experimenting.... Dark matter makes chocolate 15% tastier.
But that is weird, isn't it. The False realm seems like not very pleasant world. However, what if it isn't just the apocalyptic setting, but rather result of war? Or invasion perhaps?
On the other hand, with having experience with 3 games (With 3rd being my favourite), the morals of this world are all gone. Through what kind of things and horrors did characters go through, so that the death seems like a very regular phenomenon.
No one gives a heck about blood, dead bodies and life itself. Everything seems to be mourning-less. I guess there is no time to mourn the dead?
Everything is breaking 4th wall. Which I like. But when it comes to the False realm itself, rather than having a fixed description for it, we only have an idea of it. And everything is filled with metaphors...
School is a whole different story. How did Scarlett in HC 3 felt safe there, if the place was filled with drugs, vomiting/dying students and some other crap...
The False Realm in the HC series is pretty much as odd and dystopian as it largely due the the mental state Charles was in at the point of his death, with his passion (albeit lack of talent) for writing heavily influencing the laws of the House. While I do have less than savory opinions on this fact and Charles as a character, it's pretty straightforward. Now, I mentioned this in a comment on the Episode 2 main page, but I really hate how HC3 handles the True Realm. I explained why there, but to recap, it turns what was supposed to be a metaphor into an actual tangible world in the canon. But I digress.
Everybody in the House save for the Charlotte units, UM, Mother, and Charles, are literally NPCs that follow their role in the story or their basic, repeatable functions. As you said, the game splinters the 4th wall, vacuums its pieces up, and embraces itself as a game. This, along with the context that nobody truly has free will in the House explains why nobody seems to give a crap about laws, morals, etc and are seemingly completely desensitized to what you listed. The Uberians seem to be a constant; they're outsiders that do whatever they want and go where ever they want, and it's not 100% clear whether or not they too are simply puppets in the play.
Q84's version of school had the Linq problem, vomiting club, and other weird stuff; since none of this was in HC2, it's an open discussion that the School setting can have some differences between the stories. If nothing else, the NPCs are not "programmed" to bully or treat Scarlett horribly in any way, so nothing there would ever really do her any harm. So for all intents and purposes, it was indeed quite safe for her.
This is so different from reality, that it is bizzare
I pray that I would never have to go to these places, expereince them.
A simple thought of dying, just to get to school is horrible.
You know, when it comes to real life, I am a person who is typically not very nice sometimes, but I tend to be optimistic. And I feel a bit weird now, after what i saw in these games. I feel that the life is great, but just thinking about the horrors that were shown... Its crazy. I never knew that something can be that messed up, yet so entertaining. Everything I believed was thrown in the dustbin, in these games. And I went through something that even I was never thinking about... The nature of some characters... The human nature... Human morals... They seem to often disappear.