Is Originality overrated?

As I've been writing fiction again, I continue to come across the stumbling block that everything seems to have been done before.

Talking to my mother, she said that it's only a recent trend to strive for originality. Prior to the 18th-19th C. stories were only seen as improvements on the classic Greek dramas. The Romans(Seneca, Terence), Shakespeare were storytellers who saw themselves improving and updating a 'template' so-to-speak.

Nowadays, everyone has to do something new. Create a new '-ism' or define a genre.

How about just embracing your influences and updating the classics?