Here's something you have completely overlooked. A domain name. And they ain't free. That will be a recurring expense.
I domain with godaddy and host with ninjalion. Between the two, paying two years at a time for name and 1 year for hosting, about 100.00usd. Between due dates for the name I pay 50.00usd for another year of hosting. 150 bucks every 2 years is pissing money.
And I'm legal. You on the other hand are going to have your ISP on your back about high traffic usage and violating the TOS.