To run LLMs locally on a $1000 budget, prioritize a powerful GPU with sufficient VRAM, a decent CPU, and enough RAM. Here's a suggested setup:

- **GPU**: NVIDIA RTX 3090 (24GB VRAM) or used Tesla P40 (24GB VRAM) for cost efficiency.[1][2]

- **CPU**: AMD Ryzen 5 5600X or Intel Core i5 12th Gen for managing data preprocessing and I/O.[1][6]

- **RAM**: At least 32GB for smooth operation during inference.[1][6]

- **Storage**: 1TB NVMe SSD for fast model loading and an optional HDD for additional storage.[6]

This configuration balances performance and budget, allowing you to run models up to 13B parameters efficiently. Use Linux (e.g., Ubuntu) for better support with AI tools.[1][2]

Sources

[1] Recommended Hardware for Running LLMs Locally - GeeksforGeeks https://www.geeksforgeeks.org/recommended-hardware-for-running-llms-locally/

[2] Advice on Building a GPU PC for LLM with a $1500 Budget - Reddit https://www.reddit.com/r/LocalLLaMA/comments/1drnbq7/advice_on_building_a_gpu_pc_for_llm_with_a_1500/

[3] Tutorial: Build a Low-Cost Local LLM Server to Run 70B Models https://www.comet.com/site/blog/build-local-llm-server/

[4] Build an Ai Server for less than $1k and Run LLM's Locally FREE https://www.youtube.com/watch?v=HoMtncxN4eA

[5] Tech Primer: What hardware do you need to run a local LLM? https://www.pugetsystems.com/labs/articles/tech-primer-what-hardware-do-you-need-to-run-a-local-llm/

[6] Hardware for LLMs - by Benjamin Marie https://newsletter.kaitchup.com/p/hardware-for-llms

[7] How to run your own free, Open-Source LLM AI on a budget-friendly ... https://www.linkedin.com/pulse/how-run-your-own-free-open-source-llm-ai-windows-home-santamaria-tpvgf