I'd say they are as much a reality as any VR mockup of say a new building or other model, whether it's a serious application, or a game. If we follow your argument, then you couldn't call any VR 'reality' either. Have you ever seen VR that feels absolutely 'real'?
I have never said that games feel like real life, but they create a reality that your character inhabits. So did the old text adventures up to a point. A virtual relaity doesn't even need to be a graphical one. FPS games and RPG's etc draw YOU into a reality that YOU, by and large control, by BECOMING that character. I've never been the Pacman, but I've controlled him. A subtle difference perhaps, but that's the way I see it.
I thought that is why they are VIRTUAL realites?