So my new plan was to buy a relatively cheap Desktop PC.. And then install Windows Server 2008 on the computer.. Would this actually work? I mean is Windows Server easy to use? etc?
Yes, it will work on your desktop PC. I'm not going to say it is easy because it depend on what are you going to do with the server. Some of the function is easy to manage and some need some skills for you to manage it.
Yeah, it should be fine. I don't know if your gonna get much out of it though. Servers are usually there because something needs a lot of bandwidth or dedicated power. A cheap desktop usually don't suffice that.