Heya:
I enjoyed the heck out of IWD2. Definitely a hack-n-slash, though not quite to the degree of the first one. Some of the fights in the game can be quite challenging, especially if you don't resort to any cheesiness or don't pause and micromanage. Example of cheesiness I used a lot: Summoning is way, way powerful in the game. If you play on a harder difficulty level, then not only are the monsters super ramped up, but so are the summons.
In terms of bugs there were only two that I recall (probably more that I either don't recall or were extremely minor): one was minor, one was semi-major. The minor bug was with a group of Duergar. If I recall, there was a quest or something involving them, but they didn't recognize when the quest should've been completed. Annoying, but not a huge deal. The second bug wasn't a showstopped, I think, but a ghost that was supposed to appear at a certain point didn't and as a result I used a console command to summon in what the ghost was supposed to reveal. I _think_ you can get by that part without needing the thing, but I'm not sure. If not, then not a good bug to encounter, of course.
Overall, I had more fun in IWD2 than ToEE. For me, that's saying a lot since I'm a big fan of turn-based combat (and pausable realtime is not turn-based combat in the universe I live in, ymmv). A longer game, a deeper game, better story, cooler magic items. Neat. Oh, yeah, I also enjoyed IWD2 more than either the original game of NWN, SoU, or any of the player-made modules I've tried.
Now, the next ToEE-engine game, yeah, that could be something special, assuming one gets made.
Take care,
Dreeble