Nanotechnology has yielded nanostructure-based drug delivery approaches, among which nanofibers have been explored and researched for the potential topical delivery of therapeutics. Nanofibers are filaments or thread-like structures in the nanometer size range that are fabricated using various polymers, such as natural or synthetic polymers or their combination. The size or diameter of the nanofibers depends upon the polymers, the techniques of preparation, and the design specification. The four major processing techniques, phase separation, self-assembly, template synthesis, and electrospinning, are most commonly used for the fabrication of nanofibers. Nanofibers have a unique structure that needs a multimethod approach to study their morphology and characterization parameters. They are gaining attention as drug delivery carriers, and the substantially vast surface area of the skin makes it a potentially promising strategy for topical drug products for various skin disorders such as psoriasis, skin cancers, skin wounds, bacterial and fungal infections, etc. However, the large-scale production of nanofibers with desired properties remains challenging, as the widely used electrospinning processes have certain limitations, such as poor yield, use of high voltage, and difficulty in achieving in situ nanofiber deposition on various substrates. This review highlights the insights into fabrication strategies, applications, recent clinical trials, and patents of nanofibers for different skin disorders in detail. Additionally, it discusses case studies of its effective utilization in the treatment of various skin disorders for a better understanding for readers.