All you really need to get started recording music at home is a computer, some basic music editing software, and a microphone.
Up until a few years ago, analog tape was the primary medium for home recording. Small artists would layer tracks with the classic analog 4-track recording device. For those of you who still enjoy the sound of analog tape, you can still get 4-track machines for a couple hundred dollars. However, since the vast majority of American homes already have at least one computer in them, home recording is now more accessible than ever.
Most modern computers have a line-in input. You can use the line in to get external audio from your guitar, amp, or microphone into the sound card. You may need an adapter for your quarter-inch cable to be able to plug it into the eighth-inch line-in. However, you can easily pick up such an adapter or a special cable at Radio Shack.
Now that you have your hardware set up, all you need is the appropriate software. Macs often come preloaded with with a program called GarageBand for professional-quality home recording. For PCs, SonicFoundry has an excellent suite of programs for audio editing, looping, and multi-tracking: Soundforge, Acid, and Vegas, respectively. Most good sound editing programs have digital effects that can allow you to forgo expensive hardware. Now, just make sure that your computer is set to record via the line-in and you're ready to record virtually unlimited layers of music in near-professional quality! Best of all, when you've finished a track, all you need to do is export it to a mixed-down audio format like wav or aiff and burn it to a CD.
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