One common reason for lagging is that there's not enough free internal storage. My Nexus 4 complains when I have less than around 1GB free and warns that things will stop working if it gets down to around 300MB.
Before you try a reset, try clearing some space. You could use a file manager from the Play Store (I use a free one called File Manager) to move files (start with big ones like videos) to the SD card.
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