Augmented reality, which superimposes digital content on the real world, provides numerous opportunities to enhance interactivity and engagement in educational settings. This literature review analyzes the current and most recent trends, outcomes, and future directions of augmented reality in higher education, with an emphasis on papers published between 2022 and 2024. Studies were sourced from noteworthy academic databases, including EBSCO, Scopus, ScienceDirect, MDPI, IEEE Xplore, and Google Scholar, using established inclusion criteria. This study finds that augmented reality generally is well-received by educators and students, with applications found to improve motivation, engagement, and hands-on learning in a variety of subjects as well as the entire educational process. However, the impact of augmented reality on student performance is inconsistent, implying that its efficiency relies on the context and method of integration into the curriculum. Future research should focus on developing scalable, accessible augmented reality systems, assessing their long-term effects, and establishing best practices for integration into a variety of educational environments.