The idea is very interesting. Someone can do everything that he or she imagines (maybe within some limits online) or create many things including fan fiction or other stories offline. Probably there are already some interesting avatars (like this boy in shortalls, see link) and locations like shops, farms (historical setting ?), schools, but I haven't tried it yet.
https://www.flickr.com/photos/92358041@N05/18886887246/Some picture stories, I think from The Sims, were also helpful for my bedroom blog (when I don't know the exact room constellation for a TV series with many actors), I found some fan creations.
The main problem is, that the graphics are still not realistic enough. Maybe in 10 or 15 years we have a holographic, 3D, virtual reality quality.
The other problem is copyrights, if someone wants to publish it or use on a blog. Most meshes and textures are for sale or reused, so better make them yourself using free building software and free textures. Same for names, characters, locations and other details (of movies).
I haven't found free overalls by a brief search, so I use this pic called Rural Princess from wikimedia/flickr user Tiff/Thost Resident (CC-By-SA 2.0 license), though not sure if everything is really under a free license. But it's just a pic and not the complete, usable avatar. The Sims are probably not free at all.
I wish I had more time. But this is a movies blog anyway. If someone knows some interesting (descent) avatars or else, please comment (though I might not publish everything).
