Is there a market for 2d/ low end 3d games?
Yes, there is. Many successful indie games were made within a "week" (aka short duration). When you are able to sell a few hundred copies of a game you made within a week you could make a profit. Sure, good looking, top game will sell more, but they cost millions of $.
Thought low-end is != ugly art, remember this. The 100th clone of a platformer with not appealing art will have a much harder time than a clever idea with low/abstract art.
Some of the most noticed indie games of the last years were 2D or Lo-Fi 3D: Braid, Thomas was Alone, Limbo, Bastion, Transistor, pid, Hotline Miami, FTL, to name a few. Each of those had a rather unique style and great gameplay though. I don't know about their sales, but given the popularity they gained, I'd think they did at least okay.
2D/Lo-Fi 3D doesn't mean cheap/easy art though. If you want to be highly successful, you have to be world-class within your niche. Some "cheap looking" indie games might spend 6 months polishing their Lo-Fi graphics so that they're on par with other casual games.
I'm going to say yes. My primary focus of game development is 2D, mostly because it's what I gre up playing and love with heart, but partially because after much training, I found that 3D was not within my expertise to do solo,within a profitable time span. Haha. Anyways, just take a look at the top successful indie games, and the majority of them are created with 2D sprites: ei: Brain, Super Meat Boy, Castle Crashers, and I'm sure the list could go on, but it's late, and I'm fairly sleepy.
There are lot's of 3D games, bu there are also lots of 2D games. Just go with what you're good at, can handle within your means, and where your heart belongs.
Smile and be happy with your love of developing games for those who cannot develop for themselves :)
3D is a better route for teams of people who have dedicated roles. I guess that's why Unity/ Unreal asset market is exploding with content.
