I have been playing on the switch 4k.

After playing and building I found the game either freezing for 30s-1 min,

Other times it shows the wait bars moving when trying to open an inventory or chest, this can take several minutes and you just have to wait. Even when mobs are nearby and you just run away because you cannot swing while frozen.

It gives errors not enough system memory and will quit the game on its own. The save files is 130mb. I assume that means the Ram memory instead of hard disk space which is several GB.

I started a new world and just making a simple house I am getting frozen.

Please work on the lag and long loading to simply play the game. Optimize to run smoothly on the Switch. Less on developing content updates and making it worse for this console. 

there has to be a run-away task filling up the active memory and causing crashes or slow performance due to the large cache it collects.