1.) I wish I could change races later in the game, perhaps by way of magic...
Magic can't be the solution for everything, sorry. The closest thing magic could do for you, in theory, is that Illusion spells could make you look like someone else, and that's a feat only a master Illusionist could pull off, and even then, some would recognize you. As far as full-on changing race through magic, that's just out of the question. Not only would it completely undermine your initial choice during character creation, from a gameplay perspective, but, from lore perspective, it makes absolutely no sense how an Altmer could become a Nord, or either could become an Argonian. They are fundamentally different beings. It would make as much sense to be able to turn into a rabbit or a tree.