For VR, graphics over image quality.
Simple reasoning, PSVR1 games felt more immersive while PSVR2 games feel more fake. PSVR2 has mostly Quest ports with improved image quality, which look like remastered ps2/ps3 games.
More believable lighting and detail add to immersion. RE8 has plenty aliasing issues in the castle and relies on reprojection but feels so much more immersive than 90 fps Song in the Smoke for example.







