"Editor's" note: This post may contain outdated information. Please see comments and this question regarding changes in Git since 1.6.1.
Symlinked directories:
It's important to note what happens when there is a directory which is a soft link. Any Git pull with an update removes the link and makes it a normal directory. This is what I learnt hard way. Some insights here and here.
Example
Before
ls -l
lrwxrwxrwx 1 admin adm 29 Sep 30 15:28 src/somedir -> /mnt/somedir
git add/commit/push
It remains the same
After git pull
AND some updates found
drwxrwsr-x 2 admin adm 4096 Oct 2 05:54 src/somedir