While it would be amusing in the sense that the Makorra kiss as well wouldn’t have existed, as a plot device I really hate the ‘syke! it was a dream sequence!’ twist.
I do find it mildly ironic that Korra gets all her bending back and yet next season, Spirits, where she is undoubtedly going to the Spirit World for prolonged bits of time is a place where you can’t bend at all.