I haven't experienced first-hand any letterboxed fullscreen applications/games on Windows/Linux yet, and even in videos of such games, it is a generally accepted opinion that the developer just didn't want to give the extra effort to support "real fullscreen" properly .
Just to add to this... The game, Faster Than Light (great game btw), which (iirc) uses SDL (1.2 is the version of the lib shipped with the game), and runs on Windows, OSX, Linux, offers 4 options for windowing.
1. Windowed mode
2. Fullscreen Stretch
3. Fullscreen Border
4. Fullscreen Native
Windowed mode works as expected.
Stretch works as expected, stretching the game to fit the monitor, then letterboxing as needed to keep the game's aspect ration (16:9).
Border works as expected, letterboxing the game.
Native though, changes the native resolution of the monitor to the game's resolution and turns off any other monitors.
This is all on Linux; Windows behaves similarly. Don't know about OSX.
I'm not sure of the inner workings of the game to support all of these options, but, SFML, in the past at least, has always done #4 on Linux. Which, as a user, I consider to be the least favorable, since I have to go and reset my display settings in my WM afterwards. It also seems to ignore my primary monitor setting.
Stretch, is what I consider to be the best option, though Border could be fine. I'm just not a fan of letterboxing.
As a programmer though, I think having options like FTL does would be best. So, a style flag for each:
sf::Style::FullscreenStretch - would stretch to fill the monitor. If the programmer wants to then letterbox to match an aspect ratio, leave it up to them
sf::Style::FullscreenBorder - letterbox completely
sf::Style::FullscreenNative - not preferred, but, would do the "hard switch" that has been mentioned if I understood correctly
Would be best in my opinion. I don't know how much work this entails, as I don't know Xlib or XCB very well, but that would be my preference. I'd be happy to learn and help with it if needed though.
tl;dr: As a user, I prefer stretch fullscreen, and not having my resolution and monitor settings adjusted by the program.