Because of these rules, it's obvious - if you want to start your LSD with a human and 'turn' them, then the only options you HAVE are Vampire and Werewolf. You can't kill your founder to rez them as a psuedo-ghost, and you can't change your founder into a Fairy, Witch or Genie(my three favorite life states, mind you) without using a elixir on yourself, which is banned. So you can't have a human-turned-lifestate Fairy/Witch/Genie/Ghost founder, they MUST have been born-in-CAS that way.
It sort of sucks that there's no way to transform a human into a fairy, witch or genie without a elixir since Sims 2 Apartment Life allowed you to become a witch the same way they did vampires - find a High Witch and befriend them then ask to be turned. I wish Supernatural had let you do that. Oh well, c'est la vie. I wish Tom would create a Dynasty where we could turn heirs into Fairies or Witches with elixirs, but his Immortal Dynasty and DecaDynasty ban fairies and this one requires you to breed them. Maybe I'll create my own challenge where life-state changing elixirs are required.
Actually you can get turned into a fairy through the arboretum. On occasion, when going through looking for fairies there is a chance to get an opportunity that will turn you into a fairy.
As for the other part, it's a story that
you are telling. Just because they came out of CAS as a genie doesn't mean they were born that way. Likewise about coming out of CAS as a ghost.
The reason we don't allow life state changing elixirs is because it's called a
challenge. Using the elixirs makes it so much easier for those people who don't own Supernatural that it's actually unfair advantage which is why it was removed.
Another point where you are mistaken - the immortal dynasty allows you to change people into witches because the lifespan isn't any different. It's about the specifics of the challenge and has nothing to do with us being against the occults. Fairies live too long and give advantage of the other two dynasties where t
ime is of the essence. Otherwise, you'd be able to pick what lifespan you want and not just play on normal, too.
Beyond that, was there any other reason for your post other than to tell us we hate fairies, because that's the way it felt.