Good fold or misplayed?

[Stretch002]

Hello everyone,
This is a hand I played over the weekend. I think I should have pushed pre-flop or just folded instead of limping. I did not have a great read on the villain - just thought he was playing a fairly conservative game. I had seen him push pre-flop with pocket Kings as well as defend his blinds with Ax. Had hoped to limp in and see if I hit or set or if no over cards dropped I would push. What should I have done instead?


Party Poker No-Limit Hold'em Tourney, Big Blind is t100 (5 handed) converter

UTG (t2425)
Hero (t865)
Button (t2480)
SB (t670)
BB (t1560)

Preflop: Hero is MP with 7[img]/images/graemlins/diamond.gif[/img], 7[img]/images/graemlins/spade.gif[/img].
<font color="#666666">1 fold</font>, Hero calls t100, <font color="#666666">1 fold</font>, <font color="#CC3333">SB raises to t275</font>, <font color="#666666">1 fold</font>, Hero calls t175.

Flop: (t650) K[img]/images/graemlins/spade.gif[/img], 5[img]/images/graemlins/spade.gif[/img], Q[img]/images/graemlins/club.gif[/img] <font color="#0000FF">(2 players)</font>
<font color="#CC3333">SB bets t395 (All-In)</font>, Hero folds.

Final Pot: t1045