Before you start playing, I strongly suggest that you go to this site http://www.moddb.com/mods/the-sith-lords-restored-content-mod-tslrcm/downloads
and download the following files:
1. TSLRCM 1.8.2 Full Install - which corrects a lot of bugs in the game and adds a lot story content which include Dialogue and extra Cutscenes improves overall the game by a lot. (It's so good that you can say this game is better than the first IMO)
2. M4-78 Enhancement Project - which adds a droid planet that expands the story for 2-4 hours of gameplay and story that explains what happened one of the Jedi Master
Note: there appears to be an issue with the latest NVIDIA Drivers compabilities which prevents you from getting past the character creation.
This are a couple of ways to prevent that from Happening:
1. Troubleshoot Compability and set it to Windows XP (Service Pack 2 or 3)
2. Download GeForce 314.22 Driver - WHQL from http://www.geforce.com/drivers
, this update is the last version where the game runs without any issue
I hope this helps a lot of you and improves the gameplay and story from what you got in the final product
Edit #1: To Install go to Computer > Program Files (x86) > Steam > SteamApps > common > Knights of the Old Republic II
Edit #2: Thanks for getting this Pinned guys, now it should help all those KOTOR fans have an amazing time with a now completed and expanded game.
Edit #3: Thanks Hassat Hunter for an amazing MOD and keep up the good work. If you have any question, ask him since he is one of the developers that created this MOD.
Edit #4: For a fun MOD that let's you edit the game files to the extent of making your character unbeatable with the best stats, all abilities and any piece of equipment, go to http://knightsoftheoldrepublic.filefront.com/file/KOTOR_and_TSL_Save_Game_Editor_English_Language_Only;42499.
For it to work on KOTOR 2, you need to right click where it says The Sith Lord > Change Path for The Sith Lords > Computer > Program Files (x86) > Steam > SteamApps > common > Knights of the Old Republic II
Warning: This is not trusted software, download at your own risk