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I'm going to say never, because I doubt technology will ever get good enough to present human's that look entirely "real-life". Imagine how hard it would be to get each individual hair strand, every crease/lines/blemish/dots on a persons skin.

But honestly, I'd always prefer games to look like resistance 2 and gears 2 (looks real but there's a distinct element about it that is false) then go for entirely real graphics (say, heavy rain, bad example, seeing as how they don't look human either, but they're trying to go for that).

Then again, we'd probably get to virtual reality (where we're placed in a game) faster than we will get graphics that look real.