Dream Lake is a freshwater lake located on the southern slope of Dog Mountain in King County, Washington, United States.

Big Creek, a tributary to the Taylor River, exits Dream Lake into a canyon that produces Big Creek Falls.

Because of its proximity to Dog Mountain summit and the cirque of Rooster Mountain to the west, the lake is a popular area for hiking, swimming, and fishing and rainbow trout.

[3] A short distance west of Dream Lake is a short side trail that branches off Taylor River Trail,[4] shortly after the crossing of Otter Creek,[3] that leads to Otter Falls, a snow-driven waterfall which drops directly into Lipsy Lake.

[5] Marten Lake is further west past Otter Falls.