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Does each race have their own attributes like in Skyrim or it depends on what class you choose? For example in Skyrim Khajit heave stealth attributes but in teso it seems they will have warrior attributes (what I can gather from the description). I know you can be whatever u want and class only helps in beginning to steer character development, but I wonder if each race will still have the "superior beginning" attributes like in previous games.

The Aldmeri Dominion:

Altmer is a race of High Elves. They have good magical skills.

Bosmer are Wood Elves. They are agile and quick. Bosmer are great archers and thieves.

Khajiit is a race of cat-like creatures. They do not have magical talents but they have great agility and stealth skills.
The Daggerfall Covenant:

Orcs are a traditional fantasy race. They are strong and brave warriors with heavy armour and weapon.

Bretons are a race of humans who settled in High Rock. They have fair hair and they are not tall. Bretons are not great warriors but they are good at weaving spells.

Redguards are great warriors, with blade and shield. They are quick and hardy.
The Ebonheart Pact:

Dunmer are also known as Dark Elves. They have above-average intellect, strength, and agility. Such a combination makes them both good warriors and sorcerers.

Nords are a race of humans. They are good melee warriors with resistance to cold.

Argonians is a reptilian race. They have good magical skills and agility, as well as resistance to poisons and disease.

What race is the best? There are no true leaders or outsiders in ESO. All the races are great.
How do you decide on a race?

First of all, you should look at the appearance. You will have to look at your character for many hours during the game, so pick one which you like the look of. The character will be your representative in the game and it is great when you like how it looks. The second important parameter, is your desired class. Some races are better for warriors, others, are better for mages. Every race has its advantages and disadvantages. Racial bonuses can aid you greatly in the game. Here is a small tip: choose a class first and then find a race for your class.

Race is a skill line now. While the main skill lines (class and weapon) have about 5 active skills, 5 passives and one ultimate, the race skill line only features one ultimate and about 4 passive effects.
Typical passives are...
1) increased resistance to one type of damage
2) increased experience gain with one weapon type
... in fact this seems to be true for all races ...
Here are those that we know of so far (EP races). http://tamrielfoundry.com/2013/09/pax-skill-overview/

Your observation about weapon expertise is mostly correct. Each race has expertise in one of the 9 weapon (including the Destruction and Restoration Staff skill-lines) or armour skills. These are (from memorey, so the names might be slightly different):

• Altmer - Destruction Staff
• Argonian - Restoration Staff
• Bosmer - Marksman
• Breton - Light Armour
• Dunmer - Dual Weilding
• Khajiit - Medium Armour
• Nord - Two-handed
• Orc - Heavy Armour
• Redguard - Sword and Shield

Each race also tends to have a combination of buffs to one of the three stats (Health, Magicka or Stamina), a resistance of sorts, and/or other racial passives seen in previous titles.