I see it thrown around that "average guys should stick to obese 5's instead of chasing 8's."

Yes the average American woman is fat but that shouldn't mean she's of average attractiveness aka a "5". That would make Sarah Jessica Parker a 9 (she's facially unattractive) and Barbara Palvin off the charts as a 13/10.

A 5 would be acceptable in weight and plain face. She has some good traits (maybe a nice butt) and couple of negative traits (maybe a bigger nose, not very pretty).

Chubby/overweight would be a 3. Obese is automatic 1-2. No excuse.