Strange how discussion about a game with nearly 50 years of established lore can get bogged down with SJW's telling people what they are and not allowed to request in game. We cannot have fat people because of some mythic victitm that may or may not get offended because they #feelsbadman that fat people exist? Whatever.

Elves are viewed as beautiful by the other bi-pedal races especially humans. Making them look area 51 would go against this lore but I don't really care tbh. However if you are creating an elf and they all have giant fish eyes and have bodies like bi-pedal spiders then humans would not consider them beautiful....unless fish eyed spider people happen to be your thing I guess.

Half elves look human to elves and elvish to humans, this should explain how different elves are to humans. Elves are shorter and have smaller bodies and facially very slender or feminine. Male elves don't have square jaws, broard shoulders or beards. They live for 700 years+ and behave and react very different to humans. Artist depictions of said races have something called artistic licence so as long as there are options you can make your character look like whatever you like. It is up to the devs and modders at the end of the day as they have the licence.