Vernneal - All of those points you mention could effect one's decision about whether or not he wants (or can have) horns. But you left out relativity. How big of a speaker is too big or how costly is too expensive, will be different for everyone. Here are some facts about my system, which works well in my space. Individual readers can then compare my circumstances against theirs and determine via real facts whether or not horns could work for them. Bear in mind that smaller and cheaper horn options are available. Mine are just one example that I know well.
In order:
Size: Woofer boxes have a footprint of 24 inches wide by 21 inches deep. Horns are mounted on top of woofers for a total height of 51 inches.
Ugly: Completely and utterly arbitrary - varies with appearance and taste.
Room size: My room is 15 feet wide (system wall) by 22 feet long. The ceiling slopes from 10 feet at the left wall to 8 feet on the right wall.
Listening distance is about 12 feet from from drivers.
Costly: I bi-amp. My horns, compression drivers, woofers, cabinets, power amps and DBX drive Rack PA all taken together cost me less than $5000. That is chump change to many audiophiles and a ridiculous amount of money to others.
I live in a 1400 sq. ft. ranch house with an advantageous floor plan. My system doubles as a 2 channel home theater with a 50 inch plasma hanging on the wall behind my components.
I added the last few facts just to add emphasis to the affordability of the horn option.