There are many reasons why different people will prefer one or the other.... For instance EU or US TV not properly set can make one or the other look very unrealistic colours. For instance the wheel you are using and exactly which FFB settings you are using in game and on wheel, and therefore how the FFB affects your experience.
Having owned GT5 and Forza 4 since launch, I've had periods of switching back and forwards between them. I play them both on my Fanatec GT2 with Clubsport pedals. It's taken me months to tweak my FFB settings in each, to complement their strengths and give me an end result I like. I still play both regularly, which means they both do enough right that there's not just one choice.
However... If I had to choose today, it would most definitely be Forza 4 as the preferred choice. There are a bunch of reasons for that, not just driving model:
- more interesting car list (also thanks to superb DLC over the last year)
- way better menus and just less time spent waiting for load screens and clunky interface
- nicely done cockpit views, made deliberately so you can see the road and mirrors (not just slapping the view in the car at a generic point)
- AI which isn't super fast but at least you have the feeling that you're racing
- better tyre model, without GT5's strange feeling of penalising you for grip loss in a very arbitrary way. In Forza everything feels more progressive on the edge of grip and regaining grip, especially when locking up and sliding.
- more communicative FFB which tells you more about car weight and grip (but the lack of track surface details in the FFB is a downside)
(GT5 obviously has a better track list, higher quality lighting and the premium cars are superbly modelled)
I just find myself smiling much more when playing Forza