Have a 2015 GTI
Had a 2010 TDI sportwagen before that
Had a 2006 Passat before that
Yes they are (usually) quality
No they are not more reliable than Toyota/Honda, but that doesn't mean they aren't reliable.
Yes they are nicer than their Japanese counterparts.
For the money VW & Mazda are currently the best entry level brands you can go for imo; most auto manufacturers have tremendously improved reliability and safety so a car that
just doesn't break down isn't really a selling point.
People also tend to forget perceived Japanese reliability is built into the price.