This little-known species is endemic to the Peruvian yungas (subtropical montane deciduous and evergreen forests). It is found in areas with dense or shady cover and limestone formations. A recent analysis (Superina et al. 2014) revealed that the species has been the subject of only three scientific publications, which clearly indicates the lack of scientific information on its exact range, habitat preference, and population status.

Dasypus pilosus has been recorded only from the south-western Peruvian Andes in the departments of San Martín, La Libertad, Huánuco, and Junín (Gardner 2005). It has recently been observed in the department of Amazonas (L. Bermúdez Larrazábal pers. comm. 2009). However, due to the lack of field studies the exact range of this species is not known. The known localities were mapped incorrectly by Wetzel (1982), and repeated in Eisenberg and Redford (1999). It ranges from lowlands to 3,000 m Asl.

This armadillo has been recorded from the Río Abiseo National Park.