Queenstown is definately the most overrated place we've been so far, especially as we have no money! It's basically just a resort town which exists solely for ski season and the hoards of idiots arriving every day to bungi jump at the original AJ Hackett site.
The town sits on a lake and is surrounded by mountains but the lack of snow meant it looked like lots of other places we've been. I'm sure it's nicer in Winter but being there in low season wasn't all bad, we got our room cheaper! There were plenty of cafes and bars, but they all seemed a bit empty really - just waiting for the snow and skiers to arrive.