RE: building your own baby website
We also use Yahoo Photos. Another nice thing about this is that if the grandparents, etc. want to have prints made they can do it directly from the website. A 4x6 print is $.49 and $1.49 shipping&handling for up to 10 photos. I think it's quite a deal.
If you want to provide detailed text and descriptions (your birth story, etc.) then Yahoo Geocities is probably the way to go. The suggestion about seeing if your ISP provides website space is a good one. If you have a cable modem or DSL they almostly certainly do.
HTH,
Beth, mom to older DD (8/01) and younger DD (10/06) and always missing Leah (4/22 - 5/1/05)