I have used other water based stains Danny and there generally is two things to look out for. One - oily woods such as pine, cedar and the like will not take the stain well. and Two - it will raise the grain of your wood. One thing you might consider is this with most, notice here that I did not say all, water based stains you can use denatured alcohol instead of water to do your diluting, or add a 50/50 mix. This does two things for you, one will help penetrate the oily woods better and two will dry much faster than if you used straight water to dilute. This would help keep the grain raising to a minimum.
DW