16 x 16 tiles (Low water absorption). Is there any reason why we don't
see too many large tiles in walls? is there any tip I should know
before I do it?

We used 13" tile in ours..no problems. At ~5 ft above floor, we used a row
of 4" square tumbled travertine tile all the way around.
Above that went a row of the 13" tile but they were cut diagonally
("corners" cut off at mid point, leaving a tile which was 13" measured
DIAGONALLY) yielding a diamond shape when placed "point"s up n down. The
"trimmed corners also being used in this same row (picture a bunch of
XXXXXXXXX). Above that was another row of travertine, and finally, more
regular 13" to (and Including) the ceiling. Floor was the 4" also.

It made for a nice design feature w/o buying a lot of expensive tile trim
strips