Are you recommending that I run mosquitto directly on my Unraid server rather than Docker?
Just to re-iterate, Unraid is a proprietary Linux OS based on Slackware Linux. It is generally ill-advised to ever run tooling directly on Unraid when a Dockerized equivalent is available.
Docker is effectively just a packaging format on Linux - it's not a VM (unlike on Windows/Mac where running Docker involves running a hidden Linux VM on which containers are scheduled). So I don't see why you wouldn't use it if it makes things easier (like not having to worry about distro specifics, since there is generally one canonical Docker image for major pieces of software)?