Alright, well here is my mini tutorial for Blender 2.49 (I'm used to the interface, so I didn't ever upgrade to the 2.5 beta for windows 7 64 bit...)
Step 1: You have your one half of the model complete, and you are going to end up joining it. Those are the next steps-
Step 2: We are going to do a Shift+D to duplicate the object, and then grab it and move along the axis (G, X was the axis I used in this tutorial) (the picture explains that better). At this time we can click the magnet button - it's highlighted in the pic - and that will help us snap things together later.
Step 3: We are gonna scale this other half of the object so it is the same size, just a mirror image (Keyboard: S, X, -1) and it will mirror it so it's facing the other side.
Step 4: Now we can grab the second half and drag it near the parent object. Holding Ctrl will allow the objects to snap together to their corresponding vertices as such in the picture.
Step 5: Both objects have now been transformed into one essentially mirrored object! I'm not sure if the same will apply to other versions of blender, but this was the easiest way I was able to perform it in 2.49.
Hope that helps, it's a useful tip if you can't get the mirror function to work properly.