so you're thinking of completely hosting from a home computer??? you know how unreliable that is, right?
First, remember that this will be on a separate, dedicated machine set aside only for hosting. It's not going to be my personal computer.
I can always refund clients for power outages (if it's paid).
But my Internet connection never had problems with reliability or connection drops or anything like that. The ping is almost as good as a datacenter's.
The hosting service will probably be free, since I would have a LOT of capacity for a maximum of $50/month.
Even though home-hosting will be less reliable, the tremendous advantage of cheap hardware and the cheap upgrading cost is too much to turn this method down. I also do not care about using consumer-grade hardware and overclocking it, since this presents more than enough performance to compensate for the slightly reduced reliability.