I'm not sure why that is, but it worked for me. If you change an imperial to a khajiit, for example, they will have fur and a tail, but their heads will stay human, except with a disembodied set of khajiit teeth floating in front of them.ĮDIT: Actually, you can change an imperial to a khajiit correctly by doing this: Change the NPC to an Argonian first, and then change them to a khajiit. A few examples would be 'setrace argonian' or 'setrace woodelf'.
The correct answer to your question is to go into the command console in-game with the tilde (~) key, click on the character you want to change with the mouse pointer (might take a few tries to select the character, the console pointer can be kind of finicky) and enter 'Setrace '.
The stupidity of the people on this site never ceases to amaze me.