I am 5'1. I've been riding a Trek Project One WSD, 50 cm. frame for 3 years. It has 650 wheels or I wouldn't be able to ride that size frame, which fits me in every other way. I LOVE the 650 wheels, 'cause I have never have to worry about toe overlap. Ever. And they are not a problem in any way. They accelerate quickly. I have not noticed any difference as far as keeping up speed. Just by virtue of being smaller, they are lighter weight.
I make sure to always carry my own tubes and a patch kit, as it is less likely that anyone else will have a tube that size to loan. There aren't as many tires out there in that size. You have to really look around to find what you like, but it is certainly possible. For me, the advantages outweigh any little inconveniences.
annie
Time is a companion that goes with us on a journey. It reminds us to cherish each moment, because it will never come again. What we leave behind is not as important as how we have lived." Captain Jean Luc Picard