If you're looking for a low-cost web hosting solution, so far this has been working like a charm:
They charge pennies for storage and bandwidth usage. And that's it. You can do the whole thing for about 10$ US per year, 9$ of which is the domain registration. The catch is that you'll need to be fairly handy with websites. If you know what you're doing and your project isn't too large, I'd definitely check it out.