Genres
Magical realism
Fantastic elements in a realistic setting, narrated in a flat, matter-of-fact voice that never registers wonder.
Magical realism places fantastic elements in an otherwise realistic setting, and what defines it is not the fantastic content but the telling: a flat, matter-of-fact narrative voice reports impossible events without the characters registering wonder. That tonal flatness is what distinguishes it from fantasy, where the marvelous is acknowledged as marvelous.
The mode sits closer to literary fiction than genre fantasy, which makes it a narratorial discipline (keep the voice level) as much as a genre choice. See also show, don't tell.