Let’s just say you are right in so far as you could construct a scenario in which an occupation is worse than a fascist leadership. Congrats. My “excessively” broad statement has been refuted. How could I not consider technically possible but absurd or implausible developments? Woe is me; I hang my head in shame.
There is nothing "absurd or implausible" about a sane authoritarian-fascist 1930s Germany, with the right PoD. My "Phony War, Short War" TL develops just such a scenario, starting with the death of Hitler, Hess, and Goring in the Nov. 8, 1939 bombing. Himmler and the SS network are wiped out by the army in the succession power struggle, an army junta takes over. They were men that wanted to recover the territories that Germany had lost to Poland in 1919, but had no interest in pursuing the grandiose Lebensraum plans of Hitler once he's dead, much less at the price of a war with the Entente or the USSR. They would be interested in making a real compromise peace with the West, and Chamberlain would be interested, too, once Hitler is out of the way. They would also leave the USSR alone if it leaves them alone. A compromise peace which leaves Germany with the Sudetenland, Danzig, Upper Silesia, and the Corridor, and restores the independence of Czechia and Poland, which both sides would find liveable, is quite feasible.
For this PoD to work it takes nothing more than a clear night in Berlin the day of the assassination, so Hitler decides to leave Munich by plane, and he's in the middle of his speech, his main cronies at his side, when the bomb goes off.
