Things like fire rated doors/drywall might not lower the likelihood you'll have a house fire, but they will give the occupants time to exit safely. Ditto for electrical breakers/gfci.
The house kits seemed to started falling out of fashion as society started deeming electricity an essential, though the timeframe also had other things like the depression/ww2 going on to cause issues with it too.
There are often laws that say repairs beyond a certain point must bring it up to code, but minor repairs to keep it working are fine.
Now you may want to get it to code, but that’s another question.
many have extensive renovations, others are essentially standing as-built. typically they are worth millions, but that's more about geography and zoning than the construction itself.
i have lived in a few, all with the original plaster, and a mix of original plumbing/electrical. generally i would say even the mostly-original ones were are some of the nicest places i've ever lived, but that's not saying much.
there is definitely a survivorship bias, but the ones still standing seem to have weathered the moisture well. much of the ~70/80s era construction i have seen seems to have fared worse, and the new construction i've seen is downright laughable.
>typically they are worth millions
That might be just a more generality of single family homes in the Seattle area than a nod to their craftsmanship.
Bathrooms have usually been gutted though, if for nothing else than the common designs had windows in the bath/shower and pretty much guaranteed water damage in the wall.
My guess is those Sears houses were more than good enough without all the added bureaucracy of today.