Well if the United Monarchy is a fiction from the start, as seems at least possible - even likely - from the archaeological evidence, then the Biblical description of the reigns of David and Solomon are certainly much exaggerated.
In my view, by the time the relevant parts of the Bible had written David and Solomon were legendary figures. They were thought of as great for their achievements in their own days, and by the standards of their people and time. But those standards changed - perhaps through the achievements of later rulers, perhaps in comparison with the rulers of Isreal (as distinct from Judah), expecially the Omrides. But that happened slowly enough, that rather than downgrading their opinion of David and Solomon their feats were exaggerated to meet thee new standards. The alliance between the Yahwists and the Davidic line would only have encouraged such a process - there would be an inevitable tendancy to magnify the greatness of David