IF you say things like " that bit of water is terrible, it looks so flat", and " oh no, that's +1 anti-aliasing", then Skyrim does not look good, but
IF you are like me, an old gamer who has seen graphics evolve for 30 odd years, still thinks Ocarina of Time looks good enough, and still watches sunsets in Oblivion, then Skyrim does indeed look amazing.
Oh, please, don't give us that. I've got an Atari 800 sitting out in the garage. I've watched graphics go from CGA, to EGA, to VGA, to Super VGA, to 3d. And I still think it's not as good as it could be.
It may have a new engine, but it's still running on the same old hardware. That means the best they can do is optimize it to run more efficiently. While that will allow them to squeeze out a bit more graphical power, it's not anything significant. The rest is simply an improved artistic direction.