Heres some points from the FAQ explaining some of the stuff about starting cities and the races/classes
What is the major difference between Qeynos and Freeport, aside from their names?
The distinction is one of good versus evil. Qeynos, ruled by the wise Antonia Bayle, is a city of courage and honor. Freeport, controlled by the ruthless Overlord Lucan D'Lere, is a town of oppression and corruption.
Can I pick my city, or do my race and class limit which city I can belong to?
Your race determines which city will initially accept you. Frogloks, halflings, dwarves, high elves, and wood elves are good races that will be heading to Qeynos. Iksar, trolls, ogres, ratonga, and dark elves are evil races that will be taking up residence in Freeport. These races will have the chance to switch sides before they pick a subclass, but until then their fortune lies with the only city that will accept them.
Kerra, barbarians, Erudites, gnomes, half elves, and humans can choose which city to call home. They too will have a single chance to switch sides before declaring a subclass.
Some subclasses will only be trained in Qeynos, some only in Freeport, and some will be in both cities. The general goal is to have about a third being exclusive to each city with a third of them being available in both.
So I will be able to switch my citizenship between Qeynos to Freeport whenever I want?
You will be able to switch citizenship once (and only once) prior to the selection of your subclass. The change is not a trivial one; it is intended to be a challenging path. Here's an example of how it works:
Say you make a troll named Buhlia, and she decides to become a fighter. Trolls are an evil race, so they are only accepted by Freeport. Buhlia remains a citizen of Freeport as she gains levels, and eventually becomes a crusader. But as she matures, Buhlia realizes that she actually supports the principles of Qeynos more than those of Freeport and wishes to become a force for good. Before choosing her subclass, Buhlia can renounce her citizenship and work to become accepted in Qeynos.
This will not be a trivial task. Buhlia is going to walk a challenging road, because the citizens of Qeynos won't be quick to trust a former enemy. Furthermore, the people of Freeport will look upon the poor troll as a traitor. But if she completes a series of quests and proves her worth, Buhlia can earn citizenship in Qeynos and be trained as a paladin.
Is there any way to be accepted by both cities? For instance, can I do some quests and build up faction with the enemy city?
No. You will either be welcome in Freeport or Qeynos, never both. The only way you�ll gain favor with the opposing city is if you betray your current citizenship prior to your subclass choice and then pass through a series of challenging quests related to that process.
As you advance through the game, you will do things that gain and lose favor with various organizations and individuals in the world. But it is not a matter of "I must gain X amount of Faction Y so that I can be welcome in Zone Z." If you are a citizen of Qeynos, there is no quantity of orcs you can kill in the Commonlands that will make you welcome in Freeport. Faction is not a mathematical equation, but rather a series of relationships between individuals and organizations. It is built not only on what you do, but also the social structures to which you ally yourself.
Will all subclasses be available in both Qeynos and Freeport?
Monks, paladins, templars, mystics, swashbucklers, rangers, conjurors, and illustionists can only be trained in Qeynos. Bruisers, shadowknights, inquisitors, defilers, brigands, assassins, necromancers, and coercers can only be trained in Freeport. The rest will be found in both cities.