The other believes they live just beyond the world (off the edges). There are seven directions: north, east, south, west, above, below, and center.
Lilith lives to the west (setting sun), Taniel to the east (the rising sun), Sathonys lives to the north (winter winds), Evren to the south (summer winds), Asral above, Gwen below, and Zhakrin in the center (within). Travelling northwest is a bit shady.
I recently thought about a gypsy mystic who could divine with a ouija board of sorts. One could visit her, pay the fee and she could sense the state of one's soul ( perhaps another way of "faithcheck", hard to think what else she might reveal ).
But if we are talking where gods actually might live, its really hard to make any sense of Zhakrin, I also see Zhakrin just being "all around/within" rather than being pinpointed in one place, and giving "balance" might be bit hard to grasp for a commoner ( and for a player too sometimes! ), I like to think Zhakrin might have something to do with
Crafts and Gifts of the Mountains
from Adoption Of Man By Asral
The first race to exist was the race of the dwarves, conceived by the master craftsman Zhakrin. They were filled with the desire to create, to reveal the beauties buried within the depths of Geas, and they pleased their lord greatly with the gems and ores that surfaced from their mines, and with the intricate and lovely creations they formed with them.
Naturally trade and commerce will follow, after having nice things to play with, and after heated "arguments" justice, truth and mediation is needed, just one simple thing the scales could represent besides the overbearing Balance, and while justice, truth and so forth do sound like goodie virtues, I'd see them as tools/virtues the evilhearted could also use.
Now to bring this closer to topic, perhaps dwarves refer to Zhakrin as "the root of the mountains"? When generally thinking about places of gods, there is evidence of other planes/dimensions IC. Elor is one subject of debate ( well, an NPC has said "...in other dimension" or something ),Clerics have their own methods of travel and there is one quite outrageous room in Arborea if I remember correctly