In recent years, there has been an increasing interest in applying Augmented Reality (AR) to create unique educational settings. So far, however, there is a lack of review studies with focus on investigating factors such as: the uses, advantages, limitations, effectiveness, challenges and features of augmented reality in educational settings. Personalization for promoting an inclusive learning using AR is also a growing area of interest. This paper reports a systematic review of literature on augmented reality in educational settings considering the factors mentioned before. In total, 32 studies published between 2003 and 2013 in 6 indexed journals were analyzed. The main findings from this review provide the current state of the art on research in AR in education. Furthermore, the paper discusses trends and the vision towards the future and opportunities for further research in augmented reality for educational settings.