My own input: before and after the update, NPCs have a tendency to be reported on screen as if they were in the wrong place. Perhaps it's related with line of sight? Basically: you see an NPC in a position, after a few seconds it teleports in a different position. If you try and interact with said NPCs, it will move your character to the NPC actual position. It feels as if there is a de-synchronization between the NPC position server side, and what is displayed client side.
Placeables/items on the ground also seem to load slowly, as if you were still advancing towards them and couldn't see them still, and they were popping up in delay. Much like if it was lag.
Factual example: there were traders with their baskets and wares on the ground in front of the Morninglord church in the outskirts. I was walking from the gate. When I should've been able to already see everything (approached the front of the Lady's Rest) in fact items began loading slowly, the ones closer to the gates before, as if I was still far behind where my character actually was (e.g., as if I was still by the cages in front of the gates).
Perhaps the server side position of PCs is de-synched with what is displayed client side?
If I use an item though or cast a spell on myself, it generally is applied immediately, and I am not teleported back.