Yes, you will be looking out over the top of the lifeboats. Not a huge deal. Is it a true "balcony" cabin or is it what they call a "French Door Balcony"? We were in a deck 5 cabin where we had a french door balcony which allowed us to look out between two life boats. But a French Door balcony doesn't have an actual balcony, just the door which can be opened but you has just a 6 inch balcony and then a rail. If you have a true balcony, you will be protruding out over the top of a life boat and you should have a good view of the shore but won't be able to see the water line of the ship.
Carnival Cruise Lines:
Fantasy 90, Celebration 95, Victory 05, Conquest 05, Spirit 6/06, Freedom 6/08, Holiday 7/08, Victory 6/09, Valor 9/09, Dream 6/10, Splendor 8/10,Conquest 8/11,Magic 11/11,Triumph 4/12,Spirit 7/12,Freedom 11/12, Triumph 2/13 - The fire cruise
NCL Dream October 2006, RCCL Mariner OTS June 2007