Building My Home Lab: A Guide to Choosing the Right Server and Equipment
Building My Home Lab: A Guide to Choosing the Right Server and Equipment
Brief
In this blog, I outline the reasons for building a home lab as both a professional and an enthusiast. The topics covered include:
- Steps for choosing the correct equipment within the right budget
- Rack setup and peripheral equipment
- Future plans and next steps
If you’re researching how to build your own home lab, you’ve likely come across a variety of articles and videos online showcasing home labs, and some of the extensive equipment setups that enthusiasts/professionals have built.
So, what is a home lab, and why do some people spend thousands of dollars building them? A home lab is a test environment used by people in the Information Technology (IT) field to expand their knowledge, test new technologies, and even host and store entertainment media.
While some spend thousands on building a home lab, it is not necessary. In this blog, I will outline the reasoning behind my own home lab setup and the associated costs.

Why I decided to build a homelab
In a structured enterprise environment, every admin and help desk technician has defined roles and is responsible for specific systems. As a result, professionals master the technologies they oversee at work but possess limited knowledge of administering other technologies.
I decided to build a home lab to explore technologies of interest that fall outside the scope of my work. In a home lab, you can experiment with disaster recovery, virtualization, and networking, to name a few. The best part is that you can test configurations in a safe environment before implementing them in production, without the risk of disrupting operations. It’s like practicing before a big game.
Furthermore, a home lab allows you to learn new skills and advance your career. I plan to blog and produce videos on how I utilize my home lab environment, sharing insights and strategies with others who are passionate about technology.
Choosing the Equipment
The hardest part of building a home lab is undoubtedly choosing and purchasing the right equipment. With so many options available, it can be challenging to decide on the correct CPU, server, amount of RAM, disk space, and power consumption. Here are some factors I considered when selecting the appropriate hardware to get started:
- Budget: Unless you have an unlimited budget, cost will be a significant factor in your purchase.
- Scalability: Ensure that the equipment you choose can scale with your growing needs.
- Future-Proofing: Invest in hardware that will remain relevant and efficient as technology advances.
- Power Consumption: Consider the energy efficiency of your equipment to manage operational costs effectively.
By evaluating these factors, you can make informed decisions and build a home lab that meets your specific requirements without overspending.
First, outline your plans for the lab:
- Purpose: What do you intend to use it for? Will you be running multiple virtual machines (VMs) or just one as needed?
- File Storage: Do you plan on storing files on the server and using it to manage important data?
- Budget and Resources: If you’re setting up a simple home lab and hosting nothing critical, consider repurposing an old PC that’s sitting around. Alternatively, you can run virtualization software on your laptop or desktop computer without needing to invest in new hardware.
By clearly defining your objectives and assessing your available resources, you can create an efficient and cost-effective home lab tailored to your needs.
In my case, I plan on using my server to host multiple VMs using Proxmox, including a media server. In my case, a CPU with a multi-core is necessary. So I Looked for CPUs with hyper-threading or multi-threading to optimize performance:
Processor (CPU)
- Intel Xeon E5 Series: These processors are made for servers and offer multiple cores, hyper-threading, and ECC memory support. They are available on many second-hand platforms at a reasonable price.
- AMD Ryzen 9: The Ryzen series, especially the Ryzen 9 models, offer many cores (12 to 16 cores) and great multi-threaded performance. AMD processors are generally more affordable than Intel counterparts.
- Intel Core i7 or i9 (9th Gen or later): These are powerful desktop-grade processors, and if you have a smaller setup, they can handle multiple VMs with ease.
- AMD EPYC: If you’re looking for a serious upgrade and long-term investment, the AMD EPYC processors are designed for heavy-duty workloads and can run many VMs simultaneously, but they are generally more expensive.
Memory (RAM)
More RAM allows you to run more VMs with better performance. Each VM will need dedicated memory, so consider the following:
- 32GB RAM minimum: For basic VM workloads, at least 32GB is recommended, especially if running a media server and other VMs.
- 64GB or higher: For more flexibility and to run multiple VMs without performance bottlenecks, consider going for 64GB or more. Ensure the motherboard supports this capacity.
- ECC RAM (Error-Correcting Code): Servers often use ECC RAM to detect and correct memory corruption, improving reliability. Intel Xeon and AMD EPYC processors generally support ECC.
Storage
Fast and reliable storage is critical:
- SSD for OS/VMs: Use SSDs for the operating system and VMs. NVMe SSDs provide faster read/write speeds, which is especially important for virtualization.
- HDD for media storage: For media files (movies, music, etc.), traditional HDDs offer more capacity at a lower cost.
- RAID: Consider RAID for redundancy. For example, RAID 1 for mirroring or RAID 5/6 for redundancy with multiple drives.
Power Supply
Choose a power supply that is efficient and provides enough wattage for your components:
- 550W – 750W PSU: For a server running multiple VMs, 550W is often sufficient, but go for higher wattage if you plan to expand with more drives or a GPU.
- 80 PLUS Platinum or Gold: These ratings ensure high efficiency and save energy costs over time.
Key Considerations for Future Growth
- Dual CPU support: Opt for servers that can support dual processors, as this will give you the ability to add more processing power in the future.
- Memory capacity: Choose a server with high memory capacity (at least 512GB or more) to ensure it can handle the future workloads of multiple VMs.
- Storage flexibility: Servers that support both SSDs and HDDs allow you to balance performance and storage capacity.
- Networking: Look for servers that support 10GbE networking if you anticipate needing to stream high-quality media to multiple devices or run heavy network loads.
Need VS Want
Do you want a fancy rack? Yes, I know I do—who doesn’t? However, what do you need to accomplish the goals outlined earlier? In most cases, a single server acquired refurbished from eBay or Amazon can go a long way. You do not need multiple servers or a pre-built NAS from Synology. Understand what you’re trying to accomplish before spending unnecessary amounts of money.
Considering all of my needs, I acquired a server with the following specs:
Dell PowerEdge R630
CPU: Two E5-2680 V4 2.40 Ghz 14 core each for a total of 28-core
Ram: 96 Gb
Power Supply: 2x 750W Platinum