Yes maybe that was it; it was neither one thing nor another. But in another way I can see why GGK did not put more fantasy elements into the story- it would have just been window dressing, his thing was in the realtionships between the characters.
I do hope that eventually you will read Lyonesse (knew I had spelt it wrong, it didn't look right ) . It is a different kind of fantasy again, not like LOTR or that genre. More like a fairy tale, or Princess Bride, something like that. But lots of heroes and maidens and villains.