Last year, a senior at my tiny high school was accepted by Yale and will attend this fall. As far as I know, he’s the only senior from my town to evet go to Yale.
Am I less likely to be accepted because my high school is already represented, or does this show that they want people with a similar background to me? Will they even know during the admissions process that they already have someone from my town?
It won’t affect your admission chances. The only way your high school could affect your admission chances is if they were on some sort of “blacklist” at the school (like, for example, a student broke an ED contract and now the college won’t accept kids from that school). That isn’t the case here.
If anything, it could improve your chances vs decrease your chances because that student’s acceptance sets a precedent for students applying from your school. But on the whole, it would have little to no impact.