I lifted my house about 8 years ago -- hired professional lifters and then did most of the inside work on the new rooms myself. They used an air jack system to do the actual lift, and used 8x8's for cribbing. Looked like the house was standing on stacks of lincoln logs. They hung the existing furnace and water heater on a little platform under the house so they went up with it, and we were able to live in the house during the several weeks that it took them to replace the foundation. It was kind of weird, like being in a minor earthquake all the time, but it was livable. I have a lot of photos of the process on my website -
http://www.geekazon.com/house/ that might help you visualize the process. After all this time I still get an email every couple weeks from someone asking questions. So feel free to ask me anything.