Yes.
They may first give you warning to stop modding the models before they actually ban you, but continued usage of model hacks will eventually lead to a ban.
From the 2019 ban wave:
https://us.forums.blizzard.com/en/wow/t/update-to-recent-suspensions/161149
Reverse engineering and bypassing security protocols that safeguard against client modification is a clear violation of our Terms of Service
The use of third party software that modifies the World of Warcraft game client is against our Terms of Service.
Any future use of software that bypasses the security of the game client, regardless of intention or gameplay advantage, will be detected and sanctioned with increased penalties.