The integration of Virtual Reality (VR) environments with Internet of Things (IoT) infrastructure can enable more intuitive and immersive interactions. However, realizing the potential of this convergence requires overcoming technical constraints and implementation challenges. This paper reviews the motivations, architectures, applications, and open issues associated with combining VR and IoT. This study also aims to provide a comprehensive analysis of architectures, use cases and technical challenges involved in integrating VR and IoT to guide further research and real-world deployment. Use cases in manufacturing, energy, retail, entertainment and other sectors highlight the benefits like remote monitoring, training and collaboration unlocked by interfacing VR's realistic 3D visualizations with real-time IoT sensor data. This paper also discusses VR simulation of IoT systems for testing, limitations in interoperability, and security considerations. The outlook for VR-IoT solutions is promising, with 5G and edge computing advancements expected to address current bottlenecks to adoption. Human-centric design approaches focused on high-value use cases can enable impactful deployments across domains.