This is very likely to cause problems later on. Any system tools written in Python (notably the package manager, yum) are written for 2.4 and not 3.
If yum ever updates python packages (if yum still works), keep in mind what you did may break.
I mentioned earlier:
Best of luck!Note that EL5 comes with Python 2.4.3. If you wish to build in a later version of Python, this thread on Stack Overflow covers the process. It looks like you'll need to have a working install of the intended Python version, located in a different path than the original Python which is pre-installed on the system (don't try to overwrite the system's Python with a later version, things will get messy).