The apparent self in our dreams believes in himself; the sea or motor-car in front of him is real, dangerous, powerful or whatever it may be, and the people, some of them to us long dead, are as real as they were when we knew them. The mind that dreams our dreams dreams as convincingly as the mind that dreams our so-called waking life. When we awaken, our critical mind, applying its waking standards, sees the dream personages as unreal, as distorted, as fantastic, as what it calls 'figments of the imagination'.
And those who awaken from their 'waking' dream, from the dream of 'daily life', can we doubt that they see their 'waking' dream personages as we see those of our sleeping dreams, i.e. as unreal, distorted, fantastic, as figments of the imagination? From their words it seems clear that they do, and that so it is.
Neither dream, and there are other kinds of dream experienced in other states, to which the same applies, is one whit more or less real than the other, for both, all, are mind-manifestations experienced by consciousness in different conditions.
The only reality in either, in any kind of dream, of mind-manifestation, is Mind Itself.