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I gotta say, it feels like they developed the survival mode simply so hearthfire is actually useful (I dare say it's the most useful one, salmon roe waterbreathing potions 20 mins in for cash, very ideally placed houses, much more incentive to actually stay in your house, self replicating...
Biggest wtf moment I've had is being the boss of the thieves guild and being sent to rescue a member OF the thieves guild as the very next quest after becoming harbinger of the companions.
And the guy was kidnapped by a bunch of falmer that live in the reach. Not sure how on earth FALMER are...