In this paper, an Amplify-and-Forward (AF)-cooperative strategy for interference limited networks is considered. In contrast to previously reported work, where the effect of interference is ignored, the effect of multi-user interference in AF schemes is analyzed. It is shown that the interference changes the statistical description of the conventional AF protocol and a statistical expression is subsequently derived. Asymptotic analysis of the expression shows that interference limits the diversity gain of the system and the related channel capacity is bounded by a stationary point. In addition, it is proven that previously proposed relay selection criteria for multi-relay scenarios become inefficient in the presence of interference. Based on consideration of the interference term, two extensions to the conventional max - min selection scheme suitable for different system setups are proposed. The extensions investigated are appropriate for legacy architectures with limitations on their flexibility where the max - min operation is pre-designed. A theoretical framework for selecting when to apply the proposed selection criteria is also presented. The algorithm investigated is based on some well-defined capacity approximations and incorporates the outage probabilities averaged over the fading statistics. Analytical results and simulation studies reveal enhancements of the proposed algorithm.