Just curious if this rounding hammer would need modification for blacksmith projects. If so, what should be done to modify it? This hammer is the most affordable I have found and just fits in my starting blacksmithing budget. Thanks for any tips, ideas or suggestions.

I have the 2.5 lb version of that hammer.  I found that the hammer needs a bit of dressing since the transition on the flat side is basically a flat facet.  I created a radiused transition from the face to the sides.  I also domed the rounding side a bit more.   

 

I used my belt grinder to dress the hammer faces but there are many way's to do that up to and including sandpaper.

 

I also modified the handle as it came too bulky for my taste.

 

I should mention that I was very careful not to heat the metal while dressing it so as not to affect the temper.  I found that using the hammer for a while gave me a better picture of what I wanted to change.  I "snuck up" on the ideal dimensions since it's tough to put material back on! 

 

Be sure to give the head a nice polish since it's what gives your surface it's final appearance.

Yes! No! Maybe depending on the projects and how you work.  They are good basic hammers and I pick them up when I find them for under US$8 at the fleamarket.

 

I would agree with dressing the face(s) and adjusting the handle to your hand is a basic for most all hammers.  You may also want to put in a positive indication of which end is which in your handle---had a lot of students using one switch ends without noticing it until they hit their workpiece.

I have one of those, I did rework the handle. I used to use it hard, the handles would break fairly often, I reworked the eye (enlarged it with a mandrel). I expect it will be a while before you will need to make the eye larger.