If they also have a pussy then no balls is definitely the way to go.
Fun fact: the labia of a cis girl's vulva and the seam on a cis dudes ball sack are homologous structures. IE the scrotal seam on a ball sack are where what would have otherwise been a set of labia, fused together during fetal development. So it totally makes sense for a hermaphroditic futa to have no balls since clearly their fetal labia tissue never fused together to form a scrotum.
Similarly the clitoris and glans are homologous tissues as well. So it makes tons of anatomical sense for a hermaphroditic futa's phallus to be positioned as what's basically a giant clit.
Not to mention that testes are homologous to ovaries. Fun fact: of all the animals, only placental/marsupial mammals have external testes (a.k.a. balls) – all others have internal testes. And all known hermaphroditic species have internal ovitestes (i.e. gonads producing both eggs and sperm), rather than separate ovaries and testes. So, if we imagine a fully hermaphroditic human [futa], it would make much more sense, biologically speaking, for such an individual to have internal ovitestes rather than dedicated external testes. Indeed, a few instances of [anomalous] hermaphroditism in humans and other mammals have been described (though no such individual was fully fertile as both male and female, to the best of my knowledge), and all such individuals were reported to possess internal ovitestes, rather than separate internal ovaries and external testes.
But then again, it is not strictly required for a "futa" to actually be a hermaphrodite... the term may refer to any individual possessing female reproductive organs as well as a phallic organ; the latter does not neecessarily need to be an actual intromittent organ (i.e. penis) and may serve a different biological function (e.g. an ovipositor, or simply an oversized clitoris which may be used for non-reproductive penetrative sex).
I suppose that's part of why I tend to prefer femboy and transgirl characters over hermaphroditic futas. The moment they have both a phallus and a pussy the statistical likelihood of them having a massive phallus tends to go dramatically up... Lol it's incredibly rare to see an under endowed futa herm.
Well, I prefer "true futas" and I prefer them to be well hung (though not unrealistically so) and dominant... but, I guess, that's just my personal fetish.