There is nothing “wrong” with your settings or MSFS2020 in generall.
NYC simply has rather poor photogramertry 3D data and rather bad textures on the buildings. That’s all.
So until they implement better data of NYC, it will continue to look that way. 
Furthermore, but that seems to be a bug or just poor “optimazation”: When you approach NYC from far away, the LOD is very bad. So for a long time you see a very low res version of the city. Most buildings just very basic shapes. Often not even cubic (as they are) but low res triangles. Looks terrible.
This problem does not exist for example in San Francisco.
Even from far away, downtown San Francisco looks ok.
But NYC is just terrible from far away with very low LOD. And from close up (like in your sceenshots), well, there you simply see the rather bad 3D data. Especially the textures of the freedom tower (new world trade centre) are terrible.