diff --git a/youtube_dl/compat.py b/youtube_dl/compat.py
index a985cb03e..0b2b1db91 100644
--- a/youtube_dl/compat.py
+++ b/youtube_dl/compat.py
@@ -3081,7 +3081,14 @@ def compat_ord(c):
 
 # compat_getenv, compat_os_path_expanduser, compat_setenv
 if sys.version_info >= (3, 0):
-    compat_getenv = os.getenv
+    def compat_getenv(key, default=None):
+        env = os.getenv(key, default)
+        if env is None and compat_os_name in ('nt', 'ce') and key == 'HOME':
+            env = os.getenv('USERPROFILE')
+            if env is None and os.getenv('HOMEPATH') is not None:
+                env = os.path.join(os.getenv('HOMEDRIVE') or '', os.getenv('HOMEPATH'))
+        return env
+
     compat_expanduser = os.path.expanduser
 
     def compat_setenv(key, value, env=os.environ):
@@ -3164,6 +3171,26 @@ else:
     else:
         compat_expanduser = os.path.expanduser
 
+if sys.version_info >= (3, 0) and compat_os_name in ('nt', 'ce'):
+    def compat_expanduser(path):
+        """Expand ~ and ~user constructs.
+
+        If user or $HOME is unknown, do nothing."""
+        if path[:1] != '~':
+            return path
+        i, n = 1, len(path)
+        while i < n and path[i] not in '/\\':
+            i = i + 1
+
+        userhome = compat_getenv('HOME')
+        if userhome is None:
+            return path
+
+        if i != 1:  # ~user
+            userhome = os.path.join(os.path.dirname(userhome), path[1:i])
+
+        return userhome + path[i:]
+
 compat_os_path_expanduser = compat_expanduser
 
 
diff --git a/youtube_dl/utils.py b/youtube_dl/utils.py
index 02a49ff49..25400a0b4 100644
--- a/youtube_dl/utils.py
+++ b/youtube_dl/utils.py
@@ -2166,16 +2166,19 @@ def sanitize_path(s):
     """Sanitizes and normalizes path on Windows"""
     if sys.platform != 'win32':
         return s
-    drive_or_unc, _ = os.path.splitdrive(s)
+    norm_path = os.path.normpath(s)
+    drive_or_unc, _ = os.path.splitdrive(norm_path)
     if sys.version_info < (2, 7) and not drive_or_unc:
-        drive_or_unc, _ = os.path.splitunc(s)
-    norm_path = os.path.normpath(remove_start(s, drive_or_unc)).split(os.path.sep)
+        drive_or_unc, _ = os.path.splitunc(norm_path)
+    norm_path = remove_start(norm_path, drive_or_unc).split(os.path.sep)
     if drive_or_unc:
         norm_path.pop(0)
     sanitized_path = [
         path_part if path_part in ['.', '..'] else re.sub(r'(?:[/<>:"\|\\?\*]|[\s.]$)', '#', path_part)
         for path_part in norm_path]
     if drive_or_unc:
+        if not sanitized_path:
+            return drive_or_unc
         sanitized_path.insert(0, drive_or_unc + os.path.sep)
     return os.path.join(*sanitized_path)
 
@@ -2224,7 +2227,12 @@ def sanitized_Request(url, *args, **kwargs):
 
 def expand_path(s):
     """Expand shell variables and ~"""
-    return os.path.expandvars(compat_expanduser(s))
+    path = compat_expanduser(s)
+    if sys.platform == 'win32' and '%HOME%' in path and os.getenv('HOME') is None:
+        home_path = compat_expanduser('~')
+        if home_path:
+            path = path.replace('%HOME%', home_path)
+    return os.path.expandvars(path)
 
 
 def orderedSet(iterable):