fwiw, FaceID isn’t a photo as such, it’s projecting thousands of little IR dots and using the camera to pick them up and make a depth map of your face. It’s why a photo of you won’t unlock your phone. It works well, it’s a really good idea to have some kind of authentication on your phone and it’s the least faff option especially if you wear gloves a lot.
iCloud free tier gives you 5GB, if you’re not dumping photos on there then it’s plenty – just handy to have backups of any reminders, calendar, contacts, app settings, etc. It makes switching to a new phone really easy, just sign in and restore a backup and everything is back how you want it.
If you really want to keep a home button / touchID then the only choice really is the SE, second gen (2020) or later. Anything else won’t be getting future OS updates. They’re fine if you just want a newer version of what you have.
But really, the faceID / swipey interactions way is the better one, you adjust to it very quickly and then the old home-button way feels really clunky in comparison. iPhone 11 or maybe 12 if you can get it would be perfect. Pro is worth considering if you can find in budget just for the better camera.