Rewiring a motor is a piece of cake. Rewiring a potted motor is a piece of cake. If you can follow a recipe and bake a cake, or follow the instructions on a pattern and make a dress or a pair of pants, you can follow Rains tutorial and rewire the motor. Just read it first, reread it again, get all the tools and supplies ready ahead of time. And follow it one step at a time.
Newbie, I believe your machine is a 201-2 is it not? If so then the only motors you're going to find are used ones from donor machines. There is an on line store somewhere that sold remanufactured potted motors, but you have to send yours back. I lost that link when my other computer hard drive died.
In a day or two, maybe tomorrow I'm going to do a post on rewiring potted motors. It's not going to be a tutorial as I could never come close to the one Rain did, but some comments and pictures about what I ran into when I just did the one I did. It works pretty good too.
From your picture I can't really tell how bad the wires are on your machine. If you unscrew the single screw at the top center of the cord block and take a picture of the wiring from far enough away to see everything, that would help.
Joe