Home-recording systems can be based around computers or handled by stand-alone digital audio workstations (DAWs). A common need to both is a way to input sound via a microphone or instruments. DAWs like the Zoom R24 or the Tascam DP-004 can accept mics and instruments. Some even have built-in microphones. A computer needs an interface to accept these signals whether it's a sound card or a dedicated device like the Avid MBox for ProTools.
Computer-based systems send input directly into software as a series of parallel tracks that mimic the tracks on magnetic tape. DAWs do the same. Once recorded, sounds can be altered, adjusted and edited. Additional tracks can be overdubbed on top of the original performance. Even freeware such as Audacity has features to process and polish your tracks into a finished product.
Playing back your performance and listening critically is a key step in making a successful recording. Many home studio monitor speakers are available, some with integrated amplifiers. Bookshelf monitors, like the Tannoy Reveal 501a, are compact and affordable. Larger monitors like the Mackie HR824 are often found in professional studios but may still be within a home studio's budget. Headphones remain the preferred way to monitor tracks for overdubbing. Sennheiser and AKG are two companies known for their studio headphones.
Adding reverb, echo and other effects to your tracks results in depth and a professional sound. Software plug-ins are available for computer-based systems. Workstations often have built-in effects, and dedicated effects processors can be patched into most systems.
DAWs provide physical faders for mixing and may include built-in mastering effects and processes. Software systems will have virtual faders on-screen. Hardware DAWs can act as controllers for computer software and in fact many are designed to do just that. Hardware DAWs are often shipped with versions of computer audio programs like SONAR or Nuendo.