There are some things in your question that have me concerned and confused about what you have and what you hope to accomplish.
First, you mention not needing linux any more. If you're running a web server, that usually means either IIS or Apache. While you could run apache on Windows, if you're hoping to get by without linux that probably means IIS, which means a Windows-based web server. But if you already have a Windows Server, then why did you ever need linux?
This tells me you're probably dealing with a linux web server after all, and you're just hoping to avoid using it as the base operating system. In that case, I still advise against using a client version of Windows as your server. But if you persist, I have two additional pieces of advice to make the best of that situation.
The first is that a home-based server is unlikely to require 2GB of RAM from your base system. Start with something smaller like 512Mb, and add more to the machine configuration only when actual performance data shows you need it.
Secondly, you're likely using PHP and Apache. PHP runs just fine on IIS. If you're not using PHP or your really need Apache, it turns out that Apache runs just fine on Windows. In either case, there's no need to build a Virtual Machine for this: you can run your site directly from the base system.
Of course, there are other good reasons to use a virtual machine: application isolation, the learning experience, high availability, etc. Any of those might be a valid reason to at least continue on this path. In that case, modern virtualization techniques are quite effective, and I think you'll find the performance quite satisfactory.
What operating system will you run in the vm? What VM manager are you planning to use? – Joe Internet – 2011-08-09T02:02:40.973
2A conversation about performance is useless without a baseline. What kind of "speed" do you require? What are your minimum acceptable criteria? Just wanting to avoid "slowing down" is the IT equivalent of window shopping. You can dream but you can't decide. A better question is, "This is kind of applications I'm going to run on my server and I'm expecting X amount of traffic a week." – surfasb – 2011-08-09T06:18:58.990