Where does the Easter Bunny live? The Easter Bunny lives in a hole in the ground, a burrow at the base of a large oak tree with a tiny door that leads into the Easter Bunny's living room. The Easter Bunny has a front room and kitchen area where he creates Easter baskets and Easter eags for Easter morning. The Easter Bunny is able to escape his home through a number of underground tunnels, helping him speed along when it is time to deliver Easter candy and Easter eggs to children. The Easter Bunny has an upstairs room to sleep in, located in the oak tree, it keeps the Easter Bunny safe, warm, and dry during any kind of weather.