Having well-supported GPIO and documented interfaces is nice, when you want to do anything outside normal 'compute' use cases.
The Pi 4 is still a great option for throwing into random spots for $35 and burning 1-2W of power. The Pi 5 less so, in that common homelab use case.
I wish they made a Pi Zero 2 non-W with an Ethernet port, for $15; that would be the perfect little 'more than microcontroller' endpoint for a lot of things.
It's not a Raspberry Pi, but this Radxa board is more powerful than a Pi Zero 2 and has the form factor you're looking for. Price isn't that bad either (around $25 for the cheapest model).
They’ve otherwise always been mediocre boards in pretty much every respect. Slow, relatively power hungry, and powered by a set top box SOC that is NDAed out the wazoo.