Selfhosted
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I set myself a budget of ~€150 and eventually settled on a Lenovo Mini PC with an i5 and 8 GB of ram for €160 including shipping. In retrospective, one of those Beelink mini PC's would have been a better option, they use significantly less energy and have a better performance/price ratio.
I recommend going with option 1.
Just make sure you get an Intel box. If OP ever wants to use Plex it only plays nicely with Intel and Nvidia hardware transcoding.
Nvidia is bad