Rauenstein is located in a wooded valley at 800 metres above sea level. Its symbol, "The Rauenstein", a now-ruined castle, was first mentioned in 1349. The castle was almost entirely destroyed in the Thirty Years' War.
The church was built in 1453 and rebuilt in the neo-gothic style in 1892.
Rauenstein's economy is based on agriculture, wooden cooking utensils, toys and dolls, and high-quality porcelaine. This was the case in the past and the traditional economy has continued up to the present day. It will undoubtedly also ensure the future economy of this lovely tourist village.
The people of Rauenstein are very attached to their dance lime tree, and actively organise municipal, cultural and sporting events in conjunction with the tree.
Effelder and Rauenstein are neighbouring villages.