Maybe you’re right, due to the rise of dns level filtering many companies try to host ads on legit domain. I know YouTube does this for sure. But since I’ve been using this setup (from past ~6 months) the amount of ads I have seen practically have dropped down a lot and even from the adguard stats I can see that almost 18% of queries are blocked so it’s a win for me.

That’s great!

> The problem I see here is that if my LAN goes down for some reason, I might not have access to my passwords

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Not entirely true, you will still have read-only access.

I had a similar concern when I thought about self-hosting password managers. So I started a discussion regarding the same here.

Learned a lot of new stuff from the folks discussing here, take a look once, might help answer some of your queries as well.