Have you actually played any VR games? It's not perfect yet but it's good enough. They're quite fun. They're still niche because they require hardware and space.
Many people, like you, don't get it until they try it.
Maybe. VR is more chicken-egg, like the Windows phone with apps. The more people with VR headsets, the more VR games get developed, but more people won't get VR headsets until there are more games developed.
Just to check things out, I rented a Quest over the winter holidays. There was very little content that was a) VR-specific, and b) so much better on VR that it was worth the hassle. After we sent it back, the kids never even mentioned it again; they're happy with their Switches and the PS4.
Game designer Jesse Schell said "If Oculus Quest can’t succeed we should just hang it up" [1] and I think he's right. The obvious technical problems have been fixed. It's technically very impressive, and it has a strong novelty rush at first. But if the current market isn't enough to drive the creation of must-have games, I expect it's a descending spiral from here.
Personally I play Beat Saber on a daily basis and pretty often other games as well.