35s are pretty huge for a MU.
For the front, yes it's commonly needed to flip the ball joints. at 50mm a diff drop isn't needed, but it is easy to do. You will need a wheel alignment.
I suggest removing the front sway bar too.
a 2" spring lift won't need anything else on the rear. Just check handbrake adjustment. I can't comment on over 2" as never done it.
Shocks, lots of options, if you can afford it upgrade to rancheros or old man emu etc. Call your local Autolign, I got a set of monroes off them cheap to suit 2" lift.
Tyres, keep an eye on 4wdbits.co.nz I got a set of mudstars in 32" for $900 off them. As for what tyre size, that depends on what you want to do. Is it tyres you need? or driving lessons?
Not being a smart arse, but if you are new like me then joining up with some experience people would help you learn a lot of things you didn't know you needed to learn.