~ Add to these listed here CUO (Cyrodiil Upgrade Overhaul, a so-called "unleveler", very lore-friendly and with a good amount of quests) by Giskard, ~
If you get svcked into his world though, dont go mentioning Wrye Bash in his presence, you will get eaten and spat out. He is banned here, and on TESNexus for good reason - Anyway I had better stop talking about that subject before our posts get pruned. Be warned.
Very useful for complete newbies http://tescosi.com/wiki/Oblivion
Its a wall of text ... But you will end up following most of the advice that has been collected there one way or another - May aswell start reading now.
Then use the top 100 on TESNexus for starters. My sig has a few tips too
On the subject of overhauls - You will come across OOO, FCOM a LOT .. They are good, but dont start out with them, move up towards those kind of installations when you get more expert at modding the game.
And whatever you read about Archive Invalidation - Do yourself a favour and ONLY use BSA Redirection, dont be tempted by old advice or an old mods readme to change to BSA Alteration .. You will regret it at some point.
Another trouble saver, if you haven't already - Install the game OUTSIDE of C:\Program files\
The default location for the game to install is fine if you dont want to mod the game - To mod the game you need to install tools as mentioned above, and windows UAC is going to strangle them.
Un-install the game, then re-install to say C:\Oblivion, or another hard drive partition away from your system D:\Oblivion for example.
If you installed via steam, also un-install steam, re-install that first (again outside of C:\Program files\) then re-install the game (you can make a backup of the game files before you un-install steam, to make re-installling easier https://support.steampowered.com/kb_article.php?ref=7418-YUBN-8129 )