House Rules
for
"Munchkin"

Coordinated by Blimix

House adjustments and clarifications:

Loaded Die does not allow you to roll your social security number. (From the FAQ: Revised "loaded die" cards only allow you to turn the die to the side you wish.) However, because the picture clearly shows a roll of seven, you may choose any integer from one through seven.
The Two-Handed Sword is not affected by Curse: Tiny Hands.
The epic warrior power (to wield two-handed weapons in one hand) and Curse: Tiny Hands cancel each other out. Neither supercedes the other: The warrior simply reverts to needing two hands to wield a two-handed item.

Optional rules which still need more testing:

Card churning: Loot a room (draw from the dungeon deck) at the start of every turn. A more interesting and productive game, for any number of players.
Free Trade: Players may trade any of their cards at any time except during combat.
Two-player game, option 1: Dummy Hand: A third, imaginary player is played by the other two. They will play that player's hand open and reasonably. If they disagree about an action to be taken by the third player, they roll to resolve the dispute. High roll wins, and the level difference between the players is added to the lower level player's roll. (Alternate version: The dummy hand plays cards to affect the players, but never battles. This is simpler, but reintroduces the two-player problem of the lack of cooperative battles.)
Two-player game, option 2: Share the Wealth: If the current player is more than one level ahead of the other, the treasure gained from any combat won alone is randomly divided (50/50, rounding in favor of the current player) with the other player. (Treasure is still drawn face-down.)

Notes from the errata and FAQ regarding things we have misplayed:

The FAQ now states that you cannot play items from your hand (except one-shot items) during combat. As usual, you cannot switch an item between "equipped" and "carried" states.
It is indeed possible to have "equipped" items that are not used. For example, you lose your warrior class, and thus cannot "use" the warrior-only weapon that you are wielding, but it is still equipped.
Death does not clear up curses. They remain in effect. D'ohh!
You cannot choose to fail to run away, if you want to suffer the Bad Stuff; your character still tries (rolls) to escape.
You can play Go Up A Level cards on someone else.
You can "discard" cards on the table as well as cards in your hand, when you need to discard stuff. (You can't just discard for no reason, though.)
Kitchen Sink should not require a hand.
Foggoth: Delete the "fight with your levels only" clause. (Bonuses you get for reasons other than items are still usable.)
If the lowest level player suffers the Trap: Generosity Potion, they do not lose an item. (Clarified by Munchkin NetRep.)