Question about using a touchscreen display

Probably yes, depending on the chipset it uses – take a look at https://hub.libre.computer/t/aml-s905x-cc-480x320-ili9486-spi-touchscreen-display/183 and https://hub.libre.computer/t/wip-waveshare-5-hdmi-display-touchscreen/124

I will say that SPI can be slow, and 3.5" is pretty small, but still quite usable if it fits your needs. There are also HDMI/USB interface touchscreens that work well. Libre has done some solid work with them on Le Potato and they run about as well as can be expected.