Well, I don't know, for example, I don't use unupgraded units if they can be upgraded. The price difference isn't significant enough to worry about. Why complicate things? Let there be two equivalent units, and both can be purchased in the same city (unlike in 4). It's much simpler and offers more tactics! Rather than unit - upgrade. In the latter case, definitely upgrade!
Added 1 minute ago
Well, in some cases, it's still better to wait for the upgrade. Those Hellhounds in 5 were weak, while their upgrade, Nightmares, were quite decent. If the price difference between upgraded and regular units is made more significant, then there will be a reason to sometimes use regular troops. Sort of a balance.
Added 5 minutes ago
Unupgraded is the base, cheap and cheerful. Want perks and goodies – pay up. In my opinion, it's quite logical. There's no harsh double upgrade, like in 2 with dragons, and that's a good thing.
Although, playing 4 is more relaxing; you don't have to worry about where to upgrade if it takes two weeks to reach the nearest city.
And the selection system is very reminiscent of Adepts. I already complained about this in the section about 4. Although the choice adds variety – instead of one race, we get two, or even three.
Демократия есть одурачивание народа при помощи народа ради блага народа.(Уайльд Оскар)