Probably a mixed bag. As Fife suggests, you lose control of the committees and that will change things like oversight (ie. expect a lot of teeth gnashing about Hunter Biden in the 118th Congress), but OTOH, legislatively the margin is likely going to be close enough where Congress would be capable to get some broadly popular items done on a bipartisan basis. Particularly through the use of discharge petitions. I think it takes away a lot of the leverage that the GOP has to weaponize things like the debt limit as well...
Just on pure politics, it does make McCarthy's life hell. As much as "Dems in disarray" and divisions within the Democratic Party are a frequent meme and talking point, there is a pretty wide gulf between the two ends of the spectrum in the GOP as well. Having to manage the MTG, Gosar, Massie, etc. class while managing the more moderate wing, particular some of the incoming freshman from New York, isn't going to be easy.