"transmogrifying" armor and weapons is too much. If you wear a Dwarven Plate Mail, it needs to look like a Dwarven Plate Mail because that's what it is.
No it isnt ...
No it doesnt ...
If i want my Paladin in fullplate with 2h sword lookalike Hermit in cloth robe with wooden stick ...
Who are you to tell me that i cant?
Thats my business not yours.
Limit transogrification in any way is pointless ...
For one it adds nothing to the game at best it can reduce your options and force you to wear things you are unconfortable wearing ... not exactly positive effect if you ask me.
For two people will mod this anyway ... transmog is the easiest mod ever since you just switch one model ID for another.

And for three ... what even would be the point anyway? I mean this is prime example of avoiding stuff by simply not using it.

It never gets easier.