Was born with super small feet in the 1st percentile as well as hands due to a benign genetic issue. Totally healthy but shoe shopping is always awkward. Have decent balance and can walk and run fine as my calf muscles are quite developed to compensate. No, the myth isn’t true.
I once knew a woman who was just under 5 feet and wore women’s size 10 shoes (men’s 8). She called herself a hobbit all the time.