Only recently have I got into the world of Arda which is kind of depressing really, but I have been catching up slowly. I just recently bought and read The Silmarillion and The Hobbit, and currently on The Fellowship of the Ring (just a bit passed halfway). I also have the other books in the Lord of the Ring series. As well as Unfinished Tales. I watched all the Hobbit films and also watched Lord of the Rings: The Fellowship of the Ring. So far I am really enjoying the ride. 
My favourite tale by far is: The Tale of Beren and Lúthien. Truly an amazing story, I love it.