I haven't done the quest yet, but is it actually necessary to unlevel the rewards since you can level up and ask for it again, at which point you would be given the higher level variant?
No, it's not. You can definitely keep coming back and collect the next tier of items. I just prefer always getting the highest level quest reward, it's just a matter of preference.
It's level locked at the highest tier. It gives you the highest level version of the equipment, regardless of your actual level. You could be level 1, and you would still get the 6th (and highest) tier.
The question was a little unclear to me. But in vanilla, the armour and weapons are weaker if you obtain them at low levels (lower AR, health, etc.). You need to obtain them at a high level, if you want them to be strong. So if you were to get the deluxe armour at level 1, it would be weak. You could then go back every five levels or so, and get a marginally stronger set, until you have the strongest version at level 30 or so. This just makes it so you always get the strong version, even if you are level 1.
12 comments
The armours were only slightly weaker than Daedric and Glass in my game, though I don't remember what my armour skill levels were.