Currently trying out the non-leveling approach, where I won't take my levels and will remain at level one; have heard people talking about this, so finally trying it out for myself.
On one hand, I wanted to do it so I could use lower-level equipment (iron, steel, etc), keep destruction magic more useful, and dispense with the need to constantly acquire high-level equipment (unless I were to exploit the Restoration glitch for uber potions and uber-smith low-level gear). On the other, I expect it to be a challenge when I encounter quest enemies, like dragons or vampires. Falmer have proven to be exceedingly tough foes thus far, and dragons are a real challenge!
I have also used this as an excuse to play with Orcish gear more, as I knew I could steal a near-complete set of Orcish armor, as well as an Orcish battleaxe, at Largashbur. I wasn't expecting to find an Orcish mace in a chest (don't remember where, though), and 14 Dwemer arrows in the Steam Centurion's inventory at Shimmermist Cave. I looked it up and discovered that Orcish weapons can spawn at level 1, but nothing about Dwemer weapons spawning until level 12 or so.
Has anyone else done this? What are your thoughts on the whole endeavor? Is it normal for gear like that to spawn, even though I haven't advanced my levels - or is the fact that I've earned the XP enough to make leveled items appear?
So far, it's pretty fun