Much of the Yellomundee Regional Park is contained within the locality. The Yellomundee Regional Park has bike and walking tracks and stretches north-south on the west side of the Nepean River, and the Yellow Rock lookout at the end of Yellow Rock Road. Frasers Creek flows in a west-northeast direction in the north part of the suburb, passing north of the lookout through the park to the river. The northern border of the suburb is a creek, opposite of which is the Hawkesbury Ridge.
The village, surrounding bushland and nearby towns of Springwood and Winmalee were badly affected by bushfires in October 2013. 200 residential properties were destroyed, and 198 damaged in those localities, including a significant number in Yellow Rock.