For this question that somehow was never answered:
For using a dynamic material WITHOUT MPC/Whatever, if for example you need to use dynamic textures, like in my case, dynamic render texture heightmaps.
- UE 5.5
- Set ‘UseDynamicMaterialInstance’ in the UI to ‘True’
- In order to use the dynamic MID do NOT use ‘CreateMaterialInstance’ dynamic or the ilk, but use the special material function called ‘GetMaterialInstanceDynamic’ that is specific for landscape components!
I required it for dynamic heightmaps added to terrain components and terrain fade out.