Home Lab – Hardware
Why Hardware Decisions Matter More Than You Think
Most homelab guides jump straight to “buy this processor, buy this RAM” without explaining why. The hardware you choose determines what you can run, how many VMs you can spin up simultaneously, and whether your lab feels responsive or sluggish. Get it right upfront and you’ll save yourself from hitting walls six months later.
This page focuses purely on hardware — what to look for, what to avoid, and what gives you the best value for a Windows Server homelab specifically.
The Three Approaches — New, Used or Repurposed
Before buying anything, decide which route suits your budget and goals.
Repurpose an existing PC — If you have a desktop sitting unused with at least a quad-core processor and 16GB RAM, start here. Zero cost, immediate results. Most modern desktops can run Proxmox and handle two or three VMs comfortably. This is the right starting point for absolute beginners.
Buy a used enterprise server — Dell PowerEdge, HP ProLiant, and Lenovo ThinkSystem servers from 2015–2019 can be picked up on OLX, eBay, or local resellers for surprisingly reasonable prices. These machines are built for 24/7 operation, support ECC RAM, have proper IPMI/iDRAC remote management, and often come with multiple NICs and drive bays already. The tradeoff is noise and power consumption — they are loud and will increase your electricity bill.
Buy a modern mini PC — Machines like the Intel NUC, Beelink SER series, or Minisforum are quiet, energy efficient, and surprisingly powerful for their size. They won’t match a proper server for expandability but for a home environment they are excellent. This is the sweet spot for most homelab beginners in 2025.
CPU — What Actually Matters
For a Windows Server homelab the CPU requirements are more about core count and virtualisation support than raw clock speed.
Minimum — 4 cores, any modern Intel or AMD processor from 2015 onwards. This can run two to three lightweight VMs simultaneously.
Recommended — 8 cores or more. An Intel i7 or Ryzen 7 gives you enough headroom to run a Domain Controller, a member server, and a client VM simultaneously without everything slowing to a crawl.
Best for serious labs — Intel Xeon or AMD EPYC processors found in used enterprise servers. These support larger RAM capacities, ECC memory, and have higher core counts that make running five or more VMs simultaneously comfortable.
Critical requirement — make sure your CPU supports hardware virtualisation. On Intel this is VT-x and VT-d. On AMD this is AMD-V and AMD-Vi. Without these enabled in BIOS, Proxmox and most Type 1 hypervisors will not work correctly. Check your CPU specs on Intel ARK or AMD’s product page before buying.
RAM — The Single Biggest Bottleneck
RAM is the most important hardware decision for a homelab. Every VM you run needs its own dedicated memory allocation. Run out of RAM and your VMs will start swapping to disk, becoming unusably slow.
16GB — Absolute minimum. Realistically lets you run two lightweight Windows Server VMs simultaneously. Tight but workable for a starter lab.
32GB — The recommended sweet spot. Comfortable running three to four VMs — a Domain Controller, member server, client machine, and still have headroom for the host OS.
64GB — Ideal if you want to run more complex scenarios like multi-site AD replication, separate DNS servers, or additional services like WSUS or a certificate authority simultaneously.
A practical rule of thumb — allocate 4GB per Windows Server VM and 4GB per Windows client VM, then add 4–8GB for the Proxmox host itself. So for a three-VM lab you need roughly 20GB minimum, which is why 32GB is the recommended starting point.
Storage — Speed Changes Everything
Running virtual machines off a spinning hard drive is technically possible but practically painful. Windows Server VMs boot slowly, respond sluggishly and make the whole lab experience frustrating. Storage speed makes a bigger difference to day-to-day lab usability than almost any other component.
Boot drive — Use an SSD or NVMe drive for your Proxmox installation and VM storage. A 500GB SSD is the minimum and covers a basic three-VM setup comfortably. NVMe is noticeably faster and worth the small price difference if your motherboard supports it.
VM storage — Thin provisioning in Proxmox means VMs don’t immediately consume their full allocated disk space. A 1TB SSD gives you plenty of room for five to six VMs with Windows Server and room to grow.
Backup storage — Consider adding a secondary drive or a USB connected drive for Proxmox backups. Getting into the habit of taking VM snapshots and backups early is one of the best homelab practices you can build.
Recommended setup — 500GB NVMe for Proxmox and VMs, plus a 1TB secondary drive or external USB for backups.