Exactly, the second I saw Killzone Shadowfall, I was floored. Ryse also looked like a movie at the time and I thought to myself... how is this even possible?
I think it was the PBR materials at the time that really made it look next gen. Now that we've had PBR, we're kinda used to it now.
Also, a lot of last gen games used baked GI lighting, so adding real time GI isn't going to wow us much because we've seen it, but it was baked in (I'm talking about games like TLOU2, Spider-Man, AC Unity...etc) None of those games had dynamic day/night cycles.