So aside from the additional cost, is there any catch in using it instead of palm oil or tallow, provided you balance it out with a moisturizer like olive oil?
In my experience coconut oil, like olive oil, would still need to be mixed with a harder fat like palm or tallow, or hard butters, like cocoa butter. It is on the soft side of oils.
The "old reliable" recipe mixes these three in equal parts: Coconut, Olive, Tallow. Each of them imparts a quality that the others lack. Coconut = cleansing, Olive = moisturizing, Tallow/Palm = Hardness, stability