Wild Life, Molly Gloss. Feminist historical fantasy set in the Portland area. Amazingly thorough descriptions of the rivers, forests, and early settlement. Fantasy elements appear late in the story, and writing anything more than that would be writing spoilers.
The Ordinary, Jim Grimsley. An sf-and-fantasy cultures collide story. The sf culture is vaguely Maoist authoritarian; the fantasy culture more interesting. There's a gay love affair--if that bothers you, don't read it.
In progress: Susanna Clarke's Johnathan Strange and Doctor Norell.