I think you're using the wrong virtual keyboard as not all of them cover the display. And it does depend on the device.

I switch between a few different keyboards but generally I've no problem with Android's Hackers Keyboard for terminal use and in general use, Android's default keyboard is quicker than a hardware keyboard for me.

A high res screen helps a lot as even with a keyboard taking up the bottom quarter of the screen in portrait mode, I've still got a 100+ x 40+ terminal above it that is totally legible on a Z3c tablet. I get less col x rows on my laptop's lower res screen. I get a LOT less on my N900.

YMMV of course.

And I also have a Freedom iConnect bluetooth keyboard. I used to use it with my N900 because the N900 keyboard sucked. I'd rather have a 6.1mm thick tablet for 99% of the time than a tablet twice as thick to accommodate a keyboard I rarely need. I rarely carry that these days. I thought I'd use it more but IME Hackers Keyboard is good enough.

I object to status bars on aesthetic grounds. They're fugly and serve no purpose.