If life was a dream then I'd be married to Scarlett Johansson and Angelina Jolie and be sleeping with Kelly Brook and Lindsay Lohan on the side (I think you get the idea)
It's definitely not a dream...and it's kinda a hypothetical question as to how the world will end, because it is a near certainty that none of us will be around to see it.
As for other life out there, it's almost certain that there is (there can't be an infinite amount of space with nothing it it and just by pure coincidence there be one planet with the conditions for all the variable kinds of creatures we have)
Although I think that other [intelligent] life is far more likely to find us than we are to find it, as there's a hell of a lot going on on our planet, compared to not much on any of the others ("nearby" ones anyway)
Of course any philosophical debate could hinge on the definitions of almost any word I've used