I keep a couple of cloud based virtualized servers going for development purposes and for some small time production web sites.
I have been running web servers for about twenty years. Even ran my own e-mail server for a time. From that I learned that while running your own web server is fine, running an e-mail server will stress you out. Don't do it. These days, I rely on Google Apps, under my own domain names, for e-mail, online office work, and such.