Wakura hosts a spectacular fireworks show twice a year. There's a winter show on the second Sunday in January, and a summer show on the first Thursday in August. With an impressive display of over 1,500 fireworks, it's worth checking out. As parking fills up quickly, make sure you either get there early, or don't drive.
湯元の広場
The central point of town, this is the spot where the hot spring bubbles up and is shunted off into all the hotels via a proudly displayed if rather unsexy set of pipes and pumps. It's surrounded by a small park, and there's also a spot to boil your own eggs in spring water (15-20 minutes).
A museum focusing on toys from yester-year, as far back as the early Meiji period, and on daily life in the Showa era of Japan.
A small-ish park good for a stroll and good for spotting the many different Wakutama-kuns, which are the mascot characters of Wakura Onsen. Children will have a fun time here.