(If anyone wants to add to this, go ahead, but I hope this can be included in the main documentation at some point, as I can't find it on the website or in the engine.)
View Models can be set to make the first-person better/smoother. To set it up, you must have a "camera" attachment on a character model. When you have that set up, go to your Game configuration > Gameplay > Camera > Then set the camera type to "First Person". After that, click on the View model tab and click the character model you set up, like so;

If you are developing a first-person game where you need to switch animations. You must use the "camera.view_model" instead of the usual "player".

