Dreams are vivid and nearly real, at least that's my impression of them when I wake up, my imaginings or "Day dreams" are nowhere near as vivid, and I certainly can't see the details of my wife, kid or anything or anybody else on the level of "seeing an image of them."
You are saying you don't visualize locations you are not at when navigating, organizing things, or trying to remember where you last left something?
When I draw something, I call up a shape from memory (more like a series of explanations of a shape rather than seeing the shape). Probably why I can draw simple things, and not always 100% the same way - I'm not drawing it from a mental image, I'm just thinking about the shape of something.
After reading this though, I'm amazed that people can visualize things so well and am kind of jealous. I've gotten by and other than not having a great drawing ability, it doesn't impact my enjoyment of books or anything like that.