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Valve is doing what Valve does.
Also Cryengine stinks and performers worse than the engine Bugthesda uses for Fallout.
Also id Tech > all of these for shooters at least.
Not in the same league as UE4 or CryEngine.
You're right. It's so much better.
No, only console noobs who never modded a game or used an SDK before think it's good. Its optimization/resource consumption is worse than all of the above; RE2 Remake has below average graphics yet doesn't run any better for it, CPU optimization is below CryEngine, it is technologically obsolete.
But UE4 and CE are almost certainly more flexible and capable with regards to the kinds of games they can make, and can push graphics much further and have better integrated physics and other features. And once you look past these, go ahead and compare RE2 technologically to say Wolfenstein II: The New Colossus which delivers more intensive environments (more open, more objects and more physics) with far better graphics yet performs at least twice as good when comparing max settings on each.
DMC 5 runs better for the same reason most games from that genre run better; small static environments and nothing beyond, visual quality obviously not pushing many boundaries since the camera is farther away from things.