Are racial modifiers applied before points are bought, or after?
Looking at the Character creator supplied by WoTC, it seems they are applied before points are bought. This doesn't seem right to me....
If modifers are applied after points are bought, then one can take a half-orc from a strength of 10 to a strength of 18 for 10 points (+2 points to bring the score from 8 to 10). To bring a half-orc to charisma of 14 from 10 would also require 10 points ((+2 points to bring the score from 8 to 10).
If modifiers are applied before points are bought, it would require 16 points to bring a half-orc from a starting score of 10 to 18. It would only take 8 points to bring a half-orc to charisma of 14 from 6 - the curve doesn't change at all.
If the modifiers are applied afterwards, the only difference taking a half-orc would make is that you would have a net -2 points to distribute, and that you could have an intelligence and/or charisma of 6, if you choose, and you can have a starting strength of 20 - that's not going to happen under most poin buys, anyway.
If you apply racial modifiers afterwards, it "shifts" the cost curve up or down for an ability score - this seems to make more sense, as it would reflect different racial averages.
Point Buy Question
Racial modifiers are applied after points are bought for the reason you stated. The WoTC CG take this into account but if i recall correctly the feature is somewhat hidden.
While others climb the mountains High, beneath the tree I love to lie
And watch the snails go whizzing by, It's foolish but it's fun
And watch the snails go whizzing by, It's foolish but it's fun