I’m so glad you’re reading magical realism and that you liked mine!
Magical Realism is a small genre, originated by and dominated by Latin@ writers, and I strongly recommend you begin with them (the short stories by Cortazar and Marquez in particular). There is also a fine line between magical realism and urban fantasy, so when I was starting out I ended up reading a lot of the latter. You can read some of my wrestling with how the genre is defined here: Postmodern Mythology Kicks Ass.
Here follows a list, sometimes with links to reviews, of books I both did and did not enjoy. The books I didn’t like aren’t necessarily objectively bad books, just books that weren’t to my taste — none of them were poorly written.
BOOKS I LIKED:
Alif the Unseen by G. Willow Wilson — easily the most accessible of the magical realism books I’ve encountered, and one of the most recently-written.
Blow-Up And Other Stories by Julio Cortazar — short stories, mainly magical realism and surrealism
Strange Pilgrims by Gabriel Garcia Marquez — short stories on a theme of pilgrimage and otherness
Bless Me, Ultima by Rudolfo Anaya — my introduction to magical realism
My Life With The Wave, a short story by Octavio Paz (some consider this surrealism, not magical realism)
The War of the Saints by Jorge Amado — very difficult, very satisfying, particularly concerned with faith, hypocrisy, and racism
Invisible Cities by Italo Calvino — really basically anything by Calvino is awesome magical realism or surrealism, but Invisible Cities is my favorite.
The Shadow Of The Wind by Carlos Ruiz Zafon
OTHER MEDIA I LIKED:
The films Like Water For Chocolate, Chocolat, and Antonia’s Line are excellent expressions of magical realism. (I would assume the book version of Like Water For Chocolate is good but I have not read it.)
Pan’s Labyrinth I believe is magical realism but have not seen it so cannot say for certain.
While they both veer towards fantasy, the television shows Carnivale and Pushing Daisies have strong magical realism elements to them.
BOOKS I DID NOT CARE FOR:
The Wood Wife by Terri Windling
Dream Messenger by Masahiko Shimada
The Famished Road by Ben Okri
The Wind-Up Bird Chronicle by Haruki Murakami
The House of the Spirits by Isabelle Allende
Beloved by Toni Morrison
I hope this helps! Readers, feel free to add your own suggestions if you know of any good ones.