@superfam04 The Oculus Quest 2 doesn't really change things: the systems you were considering already supported it. If you'd like more details, here are the minimum requirements:
https://support.oculus.com/444256562873335/
As you'll notice, the only components you really need are a fast new-ish graphics card and a USB 3 cable.
The monitor specs you've posted seem fine, although I can't tell you more without knowing the exact model attached to those specs. Dell monitors are good quality overall, although many people (myself included) don't really like how their colors look. But that's a matter of taste.
The computer itself is mostly fine too, and more than good enough for Sims 4. However, without an SSD, other games you might want to play may load more slowly, perhaps much more slowly. I'm not familiar with the Oculus, but it's possible that using one would exacerbate the issue.
If you want to keep the budget down, you could add a 128 GB SSD and buy and install second SSD yourself (maybe $50 for a 500 GB model) at some later date. The reason to get at least a small SSD now is so that Windows is installed on it rather than on the HDD. Or you could reinstall Windows and critical drivers on the SSD when you get it.