Another things to consider amonghst many is:
Hosting your site is ussually against the terms and conditions of most of ISP’s.
Most of the providers use dynamic IP so you’ll have to find someone providing static IP.
The reliability and efficiency will never be as good as from profesional hosting service.
There’s possibility that it could actually cost you more to host it yourself.
You can also use a dynamic DNS service (dyndns.org) to set up a server on a dynamic DNS connection. There are a lot of great resources out there for setting one up. One really big advantage is that all the software for running a server (including the OS) is free, and open source. It also doesn’t need very much CPU power, so you can usually get by with second hand hardware. All this allows you to get a good-sized site up very cheaply.
@christopherburton are you thinking about setting up a physical box somewhere and doing it that way? Or doing a dedicated server?
If it’s a physical box, I know 2 people who have done this. I can tell you they really like the flexibility and it does become quite profitable because you are in full control of the resources and you can just scale it as needed. The big problems come in terms of software upgrades, backup plans, if something ever goes wrong you are always on call to go fix it, etc. Continually updating things like PHP can break all kinds of legacy code people used. While that stuff happens all the time, you being the guy with the server ends up getting all blame.
@JoshWhite Actually, this post was more about curiosity rather than me actually going forward with it. I wasn’t sure what the benefits were to having your own rather than going through a hosting company.
One other thing: If you’re doing this for your own website, it’s much easier than if you’re doing it as a service for hire. If it’s just for you, you only need to install the software you need, otherwise, you have to install everything they want.