Hi,
I am sort of like you and your project. Started stock, did a little, and looking for more.
One of my restrictions was keeping the overall height low enough to clear the parkade at work ... a rather interesting challenge.
I started with a 1" body lift. A royal pain ... @%!@# rusted bolts. But enough clearance for 31's.
I bought some TJ flares for more room in the rear ... not installed yet as I only have 31's and no need.
I looked at a bunch of suspension options. The stock leafs were pretty much gone or in need of something. I looked at 2" kits, but figured the old penny for a pound rule and opted for the 4" kit.
The 4" kit (leafts, shocks, ubolts, plates) was great. Keep in mind you should buy new leaf spring bolts as you will end up cutting one or more of them. So pick up a few ... I prefer Chryco ones with the shouldered bolts rather then generic grade 8.
You should think about brake line extensions. The rear you will need one. A stock rubber from another vehcile will work, or just upgrade front and rear with braided stuf. You can also relocate the front ones under the frame. I ended up with some rubbing on my brake line in one mud hole ... to say the least I was glad I had braided stainless vs. rubber! If you do run longer ones, strap them to your shocks.
Many YJ lifts will also come with or recommend a drop kit for your transfer case skid plate. Now my 2 cents here are why lift the jeep only to lower the transfer plate. I split the difference and put a 1" motor mount spacer (retains stock mounts), and lowered the transfer case with 1X2 tubing which netted 7/8's drop after you clearance for frame nut inserts. The result (in my setup) was no vibration issues ... and I think I could have cut another 1/8-1/4 out of the transfer case drop. I will add that the motor mount lift was a bit of a pain on the passenger side mount. A bit of triming and short four letter words were required.
I am not at the point of looking at axles and lockers. I have 31's, but looking for 33's. I have 15x8 rims with less offset. Looking at 33X10.5 for the skinny look, but may go 33x12.5's.
One thing I did do was swap in a set of 2.5L 4.10 axles. I had 3.07's factory. The 4.10's were a GREAT swap and cheap too! Since I was putting new leafs in ... the axles were already out!
The front D30 appears strong enough for 33's and a stock 4.0L. If your running 35's or a V8, then I might suggest the D30 will become a weak point. Anyways ... this ranks lower priority than the rear D35.
In the rear, a D44, if you can find one is a decent upgrade. It's just a whole lot bigger include the axle shafts. Not to mention it does not have C-clips. Your D35 might be the non c clip version, but it still has the 27 spline axles and tiny spider gears. A 1987 XJ is the best place to find a D44 donor.
Another option is the 91-up ford explorer. Larger ring gear, bigger axles, but same bolt pattern. It is a bit narrower, so you might need to address that with rims. If you look at the 96-up, you can get rear disc brakes!
My 2 cents on axle swaps. A D44 will maintain a higher resale than if you swap in a ford diff. If you care about this stuff.
There is tons of stuff to read. My favourite forum to search for info is
www.jeepforum.com. There is a YJ section. Seems to be 1000's of posts and some OK info.
Mark.