If I try something new in my replay system at home, I always struggle to apply hifi language to describe what I hear, instead I most often refer to clarity, and also, though to a lesser extent, to sound balance or to any curtailing of frequency spectrum, or to aspects of soundstage (mental image). And I suffer from the problem that playing decent music tends to just draw me into the music so I end up forgetting that I'm comparing things!
When I've been to a live acoustic performance of a solo guitarist (celloist, violinist etc) I haven't ever been aware of the body of the instrument or its different woods etc, but have purely and simply absorbed the tones and combined sounds of the plucked or strummed or bowed strings, to which of course the body and its different woods intimately contributed. Nor have I ever noticed the effect of the distance from the timber floor, or reverberations from ceiling an side walls or anything else, other than in terms of the resultant effect on clarity of sound (or more particularly I notice the lack of clarity in the case of a venue with poor acoustics!).
However, when I've been to, for example, a larger ensemble, right up to full orchestra, I have sometimes picked out and listened to specific instruments while many have been playing together, for which the ability to do so relates to spatial information and not just picking out its unique tones (if desired I can cite my experience that taught me about the value of stereo).
Also, though with live performances it happens predominently with amplified music, I notice when there is something out of balance, maybe one instrument too prominent (flute and snare drum have been common culprits) or inaudible, or curtailed top or bottom end - and these are often the fault of the PA system setup (poor miking, poor system, poor sound person), or sometimes the venue (e.g difficult peaks and nulls - which includes when the mixing desk is in a position so affected).
So, when at home listening to a recording on my system it would be unnatural for me to become aware of the body of the guitar or the interaction between it and the floor - in fact to hear that would suggest bad miking technique, unless the idea is deliberately to let the listener hear it as perhaps the player would, with head positioned so close, rather than as the audience would.
However when I am listening at home it would be perfectly natural when an orchestra is playing for me to be able to locate and focus on one instrument in the mix. At the same time, because lack of clarity, poor sound balance and lack of fullness of frequency response all impact negatively on my enjoyment of the music, noticing them at home just as at a live oerformance is natural for me, and improvements in them in assessing new gear at home is a positive thing.
So, for recorded music played at home, musicality is in the music and its performance as captured in the recording and mastering process. Our systems are there to let it out, which is where my preference towards accuracy comes in - though where the recording I hold is flawed, that does mean hearing the flaws, and perhaps the question is whether that is better or worse than not hearing good recordings so clearly. The obvious answer is an accurate system, but with moderating circuitry that can be switched in for playing of poor recordings...
