Here's what we know (or at least think). Allen is an excellent QB and as long as they get excellent QB play, they're going to have a shot any given year. Some stuff has gone their way this year, with the team winning a lot of one-possession games. But the schedule has been really really tough, and breaks lighter the next few weeks with the Chargers and Broncos.
On the Allen debate, I think he's probably in the top 5 on any list that doesn't consider age and isn't on any list when we are talking right now. Knowledge and experience take time, and it's fair to want Brady or Big Ben right now
I've this before and I'll say it again: it's a good team missing some elements. Namely, they haven't been able to run effectively and the defense hasn't been healthy like the last 2 years. Somebody like McDermott and great QB play on the other side is the recipe for long term success, and if the defense can get healthy and right they'll have a shot.
I don't know exactly where they sit. It's probably below KC and Pittsburgh, and probably above the other teams in the North. Buffalo, Tennessee and Indy are the three teams I see in the tier below KC and Pittsburgh at the moment, but they've all played clunkers and I like the QB play in Buffalo on the year better than the other 2 teams but I like Indy on both sides of the ball as of late.