Washed out portraits can be caused by the program Overwolf, which adds an overlay to games. Disabling that should help, if you are using it.
Does the character show up properly in the inventory equipment pane? If not, try disabling Ambient Occlusion in the graphics options, to see if that gets the character to show up.
There is a known issue which can cause this problem, as well as the character portraits becoming faded / washed out after respecing.
This is probably related to graphics driver issues (re-using the mirror on another system fixes the portraits, and one person who reported this fixed it by reinstalling Windows), but the exact cause has not been determined.
Try resetting your graphics driver's 3D settings to default (right click an open area of the desktop to start the nvidia Control Panel or AMD Radeon Settings).
Check for updated graphics drivers. If you already have the latest, you could try a clean re-install, to see if that helps. See
here or
nvidia /
AMD, for example.
