Hi Jimmy,
I know you don't want to hear it, but judging by those pics, you'd be an ideal candidate for propecia I think. I'm only going by the dramatic progress I have seen from other users on this site, with hair that at baseline was very similar to yours. I don't personally use Propecia (yet), although I am probably going to start it soon. In terms of side effects, I think it is one of the safest meds out there. It's exceptionally unlikely you'll get side effects or anything bad would happen.
To answer your original question, I would say you are NW2.6, and it's definitely not too late to reverse most of it, provided you get on propecia.
I don't think there has every been a case of a Propecia user fathering a deformed child (above regular statistical probability anyway). There are millions of propecia users worldwide... besides, by the time you want to have kids (if you do!) better treatments will be available.