As I responded to a comment in an earlier post, there will only be humans in this game, mostly because if I were to incorporate dwarves, elves, etc., I'd want to make their presence a meaningful part of the narrative and world, and I'm more interested in having the story revolve around profession and faction choice.
Many players like non-humans because of the mechanical variety they add to character creation. In place of the traditional options, players in Dungeon-Town can choose an unusual circumstance of birth occupying the same mechanical niche. The births of heroes from myth and legend have influenced most of these ideas.
Some Hypothetical Natal Circumstances
Raised by Wolves
Found in Rushes
The Stronger One (strangled twin in womb)
Raised by Shepherds
"Changeling" (character has zero resemblance to father)
Born with a Caul
Because the player makes four characters, this can obviously lead to some narrative absurdity -- four heroes walking around all of whom were raised by wolves, for example. But realism for its own sake isn't one of my design goals.