Own a DK2. It's 1920x1080 @ 75Hz or 960x1080 per eye, and fairly amazing for stuff that works with it, but horrible ingame UIs and input methods(currently).
1200x1080 even @ 90Hz(they're OCing the hell out of that display as even the DK2 is OCed @ 75Hz) is NOT going to cut it. 600x1080 per eye.
At some point I started noticing pixelation in the DK2 and now cannot use it without seeing it. Other have mentioned this and it was partially the cause of "screen door" effect of DK1(low resolution/low pixel density).
Controls suck, well as in me and many others do NOT like kb/mouse/joystick/console type controller and VR. Game UI none of them are great.
There is very little designed for VR software.
So we're in the cluster of no software/displays not there yet/non-existent good control options.
All may be fixed in release versions, as Oculus is working on something vaguely like leap motion(which sucks BTW tried one of those too but it's in the right direction) and sixxense STEM MIGHT work well although it's freaking expensive for controllers. Gloves/bodysuits aren't going to do it, need a combo of optical/some sort of depth sensing(kinect/realsense)/possible small wearable sensors(sixxense).
Reading the Valve VR blog, I'm not sure that I buy into that guy's hype/babbling wrt to refresh and "judder" especially
I also have a castar on pre-order along with their AR(augmented reality) and VR(virtual reality like the above two) clipons but seeing as they have already charged my account and still have no ship date I'll likely be cancelling that order and just wait for them to have shipping product, and stick with Oculus for experimentation(it's out, it works pretty well, and likely the next will be the consumer release that should improve all problems above hopefully "fixing" them).