Take my opinion for what it's worth because i am "relatively new" to the game. But i was interested in getting a private server as well. I ended up just doing a basic hosting account for now until i get my websites set up, then i will hop them over to a private server.
Here is my opinion, For a really good dedicated server, I'm talking ample space, 200 gig or more total HD, With 2 or more gigs of Ram memory and dual core processor, most companies will charge you $150-300 a month and THAT'S if you pay the year up front.
For a fraction of that kind of money, you can flat out BUY a phenominal server that will run circles around anything a reseller is offering, plus, unless you have like 60,000 websites, there is no way you are going to use that much disk space so you can sell off hosting packages to other people and actually MAKE a profit. Obviously this takes a little more time, a little more effort and a little more start up money than a basic hosting account but if you are going to go dedicated server, this is the way to go! I HIGHLY reccommend ebay, you can find a used or new server with excellent specs there for anywhere from $250- $1000. Well worth the investment when you consider it will probably last you for 5 years where as 5 years of Dedicated hosting will run you anywhere from $7,500 to $15,000!!
Your only other option if all of this seems too steep is getting a VPS (virtual private server) which is similar to a Dedicated server but you usually have far less Disk Space And Bandwidth than you would on a True Dedicated server because there can be as many as 10-30 VPS accounts on a single server. However, you can get a VPS account for about $30-50/month so the savings is a potential benefit. I hope this has been helpful. -Dave
They have a deal on a QUAD CORE server with 4 gigs of ram and