I didn't find DMC1 to be all that great - but then again, I was playing it on a laggy PS2 emulator on PC, so that may be why.
Nikki, you definitely do not want to miss DMC3 if you haven't played it yet, it's arguably the best game in the series.
SFIV is awesomesauce.
Onimusha 3 is a blast just cause you get to play as Jean Reno, and that's absolutely hilarious. Too bad the PC port was absolutely horrible.
I also recommend Chaos Legion if you like CAPCOM.
All games studios have the "resources" to make pretty games, but the artists might lack the skills or the time to make things look great. All the resources they need are 3D modelling software, an engine and graphics editing software, which they all have. Modelling environments, architecture and characters and texturing them to make them look good is very time consuming, that might be why some companies don't bother making something look the best it can.
It's time consuming and it costs a lot of money. Compare game budgets of today to, say, 5-10 years ago. Renting an engine or hiring people to make one, hiring gfx designers etc etc all costs money, and game budgets aren't unlimited. That's why companies usually opt for one or the other, and not because they're somehow "lazy". That, or the game turns vapourware like STALKER did at one time. EA or Bioware may have the money to spend, but Katauri or .dat or any other non-giant corporation don't, and have a hard time balancing GFX quality, writing, game design, bugfixing and meeting realistic deadlines. So no, not everyone has the realistic resources to make the games top-notch gfx quality, which is exactly what I said originally, if you stop misreading what I wrote.