Transfer Utility Fit Issues
I need some help understanding what I'm doing wrong with the transfer utility and/or geometry of models I'm creating. I create geometry that fits the character, but when I run the transfer utility on it the geometry completely changes. Genarally speaking half of the geometry ends up inside the figure. I've tried tight fitting the geometry to the figure and loose fitting the geometry to the figure, but the results are always wrong. I have looked at what feels like every tutorial on it, and done search after search, but I can't find a description of anything like this. I am new to this, and it makes it hard to even experiment with content creation when I can't even get the basics to work.
Any suggestions would be greatly appreciated.

Comments
Are you building around the base character or a morph? If thre latter, do you have "Reverse Deformations" checked?
Well, I've tried both base characters, as well as morphs, with pretty much the same results. If by "Reverse Deformations" you mean "Reverse Source Shape From Target"...yep tried that. I've walked through the text help tutorials, video tutorials, with exceedingly limited success.
Could you provide us with screenshots? It'd made it easier.
You did have the Source Shape itself set appropriately? Just setting the reverse option alone won't help since there's no memory of which shape as used. Even using that option you shoudl be careful to reset any scaling to 100%.
I guess I was really only having problems trying to use the transfer utility on a morphed figure. I tried a couple of simple things to create some screen shots, and of course everything worked. I started with a base resolution Genisys 3 female, created a very basic dress. When I tried the transfer utility the dress fit correctly, then when I dialed up the Aiko 7 morph the dress still fit. Even when I deleted the Genisys 3 female, and added an Aiko 7 character. The dress still "fit to" correctly. Though the geometry did get a little distorted, and I'm not sure how to resove that. I guess then the question becomes how to create the best geometry for a specific character? Does that require a specific morph to be created?
A custom morph will give better results than the AutoFollow. You might also look at the new dForce tools in the Daz Studio Public beta.
I tried a more complicated...and tighter...dress later in the evening. Modeled on a base resolution, unmorphed Genesis 3 female body. Back to the same old problem. The transfer utility moved all the geometry so far that the entire front of the dress was inside the figure. How much space has to be allowed for a piece of clothing to "fit" correctly? Some of the parts of the dress that disappeared would be a real-life 1 to 1.5 inches away from the body's surface, while others that were skin tight didn't. It's like DAZ couldn't figure out where the "center" of the dress was. There is so much space on the back of the dress that it could be moved forward to fix the geometry fit, but once it's fitted you can't translate it. Which makes sense except for how far the transfer utility translated it to fit the figure. Perhaps someone could claify for me how the geometry fit is carried out? I was under the impression that it was determined by when the object geometry collided with the figure surface, but it seems there's something else going on. I just can't figure out what that is, or why the things I make are close but don't really work.
As for the morph suggestion. I'm going to have to do a bit/lot more research on that before I can really formulate a question. I tried to do it for the first dress that fit, and ended up with a morph that didn't correct the polygon deformations, and that had to be at strength -100% to fit at all. Clearly I'm missing some information there.
If it makes a difference I'm using Hexagon right now. I plan on getting up to speed on Blender, but that's a hill too steep for me to consider right now.
That sounds as if somehow an offset is being introduced to your model - does it line up with an absolutely zeroed figure immediately after importing the OBJ?
In most cases yes. this one did get offset a bit in Hexagon, but I thought I had resolvd that. Still, wouldn't DAZ handle the small translation I put in to correct the offset? Or, barring that, is there a way to correct that prior to running the transfer utility? Do you know of any more recent tutorials that may have been put together? Most of what I find is is working with Genesis (1) figures on a signifcantly older version of DAZ. Or, at least ones with a bit more detail? I've walked through one on the website, but there are some gaps in the detail I can't quite figure out. It's one creating an outfit for an Aiko 4 by replacing the FBMAiko morph with a custom one, but there's a big gap in the information. I can't get it to work correctly. I have create a unique morph, but it only allows 1-2% change before the fit becomes garbage. btw: thanks for sticking with me, I do appreciate the feedback. It has helped clear up a couple of thigns so far.
I do have another question on the scale you mentioned before. When I morph the Genesis 3 figure to Aiko 7 the scale parameter goes to ~97%. If I change that to 100% then morph back to Genesis 3 the scale goes up to ~103%. I don't know if i should change this for the figure I'm modeling for 100% beforfe I export it, or leave them at the morphed value? I just put an Aiko 7 character in a scene, and it shows a scale of 97.5, which I guess is the default scale for the figure, and I should model against that??
If the model isn't lining up with the base figure you can translate it (or otherwise adjust it) until it does, then export as OBJ and reimport using the same preset.
If you zero the scale (which you should do) then you are applying a local value on top of the value that is coming from the Aiko 7 morph - when you remove Aiko 7 that local value iss till there; you can then reset it to 100% (alt-click the slider)