I also don't understand your assessment that we are reaching (or can reach) herd immunity: We're not there on the common cold or influenza, and it seems COVID mutates at rates that will keep it around as well. Early evidence on Omicron indicates that it in particular is better at reinfection than other strains, so I hope the data in the next few weeks confirms its milder nature, but reinfection provides even more opportunity for variants to emerge.
We're much better off than we were a year ago: The holiday spike is (so far) not as bad, deaths are lower than last year at this time, and vaccines are widely available. But we're not back to normal yet (probably never will be) and I don't think we're doing as well right now as we could be, and I think we can make a lot more progress before we declare this thing over and adjust to a new status-quo.
As for your experience, it is not predictive or representative given the ~800,000 US deaths. Especially because you live in an admittedly very cautious area.
Give me "unnecessarily wear a mask while walking the dog" and no deaths every day if my other option is "never wear a mask anywhere" and be surrounded by death.
There shortages of hospital beds across many states [0] If you want a full perspective on things, look further than your own state.
Unless you live in Wyoming, Colorado, Alaska, North Dakota, or Montana then everything is not going very well. Most people don't live in these states, and many of the states with loose mask mandates are not in that short list. A small are just about holding their ground, but about 40 states have seen a >= 15% increase in infections just in the last two weeks, and one of the least restrictive states for mask mandates (Texas) has increased by 80%. [1]
[0] https://protect-public.hhs.gov/pages/hospital-utilization
[1] https://www.nytimes.com/interactive/2021/us/covid-cases.html