I'm thinking about getting some proper web hosting via User-mode Linux. UML is a cheap virtual server system, like IBM VM or VMWare only lower tech. Each user has their own virtual system image with full root access, but it's only $20/month instead of $50/month or more. Also known as Virtual Private Server (vps). The downside is you share CPU and RAM, although the numbers below are worst-case scenarios.
Here's what $20/month gets you on a few hosting sites: