I got a Switch this year and man is the old hardware noticeable!
The loading times are really long. 3D games tend to not look that good in 720p. There's no Bluelight Filter (though that's software, not hardware xD). The internal storage is really small for a console where you can download every game. The default controller is also really imprecise, making some games almost unplayable.
And in spite of all that I'm still having a blast with it. There's some really good games on this console and that's what matters the most in the end. The best games to play without docking are retro games and stuff like Story of Seasons, but other games are okayish. When you're busy concentrating on the game you don't notice every pixel.
Would've been nice to get something more like my tablet as the Switch looks really poor in comparison, but when I am honest the tablet I'm using cost twice as much, so no wonder it is better in every way (except the available games). :x
I also suspect that the price might drop if they release a better version... Or the better version might just be more expensive. XD
In these times though, it's still worth it just for cute games that can bring a smile to your face.