I mean, AW2 runs on Remedy's Northlight engine, HD2 on an ancient (modified?) Autodesk stingray and RE4Re on Capcom's proprietary RE engine (which is already long in the tooth nowadays), so, it's not only when it comes to the UE games brother...
Now, either these consoles weren't that powerful to begin with, or, devs have have already maxed out their capabilities (something which I'm not too sure of).
It's kinda funny, people used to shit on the PS4/Xone due to the "Jaguar CPUs lol®" back in the day but we had games like Ryse, The order 1887, Uncharted 4, GOW etc, heavy graphic titles which ran well and also their Image quality was actually good/not shit like we have on this gen with games like AW2 and others were every effect and general IQ is a blurry, fuzzy, low res affair with terrible FSR "symptoms" on top of that.
Talking about AW2 again, I'm actually shocked at how BAD its image quality is, it's been years since I witnessed something this bad.
Cheers