The settings you used were not the right way to go.
You can model clothes around a particular morph and then use “reverse from original” or what not to make it adjust to the base genesis figure. This won’t result in an optimal morph for genesis, but you can take the clothing item and adjust it at that point(if you want it to look right on the default genesis)
If you don’t plan on selling or distributing, you can ignore how it looks on base Genesis and just model for YT or whatever figure you like, bring over to genesis with the reverse option. THen use morph loader pro to load the OBJ again but name the morph the name of the YT morph you designed it for.
I model clothes for my custom figures, and only for them, so I start with there shape first. Probablly not crystal clear explaination but I don’t know how much you know, or don’t know so I don’t want to go too far if you are already familiar with things. Will try to help if this didn’t explain things…