In Part 1, we designed a complete enterprise-style backup architecture for homelabs using:

• ZFS snapshots
• Syncoid replication
• Proxmox Backup Server
• Automated monitoring

Now it’s time to build the foundation that makes all of this possible.

And here’s something many guides get wrong:

Not all storage in a Proxmox system should be ZFS.

A well-designed homelab separates performance storage from capacity storage.

Today we’ll build a professional, real-world layout:

• Proxmox OS + VMs on fast SSD
• Large ZFS mirror (2× 8TB HDD) for data & backup storage
• Optimized for performance AND reliability

This is one of the most practical and balanced setups you can run.

Why You Should Separate VM Storage from Data Storage

Many users try to put everything on one storage pool.

This leads to problems like:

• Slow VM performance
• Storage running out quickly
• Expensive SSDs wasted on bulk data
• Difficult backup organization

A smarter approach is to split storage by purpose.

Two Types of Storage in Proxmox

Performance Storage (SSD)

Used for:

• Proxmox system
• Virtual machines
• Containers

Requires:

• Fast IOPS
• Low latency

Capacity Storage (ZFS HDD Mirror)

Used for:

• Large datasets
• Backups
• Media files
• Snapshot archives
• Replication targets

Requires:

• Reliability
• Redundancy
• Large capacity

Why This Layout is Ideal

This setup gives you the best of both worlds:

It’s exactly how many production virtualization environments are designed.

Hardware Layout We Will Build

Here is the target architecture.

SSD Storage (Primary Storage)

Contains:

• Proxmox OS
• VM disks
• Containers

Typical size:

500GB – 2TB SSD

Why SSD is critical for VMs:

Virtual machines perform many small random reads/writes.

HDDs cannot handle this efficiently.

SSD ensures:

• Faster boot times
• Smooth VM operation
• Better responsiveness

ZFS Mirror Storage (2× 8TB HDD)

Configuration:

ZFS Mirror
2 × 8TB HDD

Used for:

• VM backups
• Large datasets
• Snapshot storage
• Replication targets
• File servers

This provides:

✔ Disk redundancy
✔ High data integrity
✔ Huge storage capacity
✔ Perfect backup destination

Why ZFS is Perfect for Data Storage

ZFS excels at protecting important data, especially large datasets.

Here’s why it’s ideal for this role.

1. End-to-End Data Integrity

Every block stored in ZFS has a checksum.

This means:

• Silent corruption is detected automatically
• Bad sectors don’t go unnoticed
• Data is verified every time it’s read

Traditional filesystems cannot do this.

2. Self-Healing Protection

In a mirror configuration:

If corruption is detected:

👉 ZFS automatically repairs it using the healthy disk.

This makes it extremely reliable for long-term storage.

3. Instant Snapshots

ZFS snapshots are:

• Instant
• Space-efficient
• Safe

They allow:

• Recovering deleted files
• Rolling back mistakes
• Automated snapshot retention with Sanoid

4. Efficient Replication

ZFS enables incremental replication:

• Only changed data is sent
• Very bandwidth efficient
• Perfect for backup workflows

Step-by-Step Installation Guide

Let’s build this architecture correctly.

Step 1 — Install Proxmox on the SSD Using LVM-Thin

Boot from the Proxmox ISO.

When selecting the installation disk:

👉 Choose ONLY the SSD.

Filesystem choice:

EXT4 (default) is recommended

Why EXT4 is fine here:

• Simpler management
• Lower RAM usage
• Faster updates
• No need for ZFS features on system disk

It is advised that you configure static IP for the Proxmox server:

Personally, I configured my router to preserve 1-99 for static IPs and 100-254 for DHCP.

Also it is adviced to use some DNS server for easy access, I use pi.hole to define local DNS.

Complete installation normally.

After reboot, access:

https://YOUR_SERVER_IP:8006

Step 2 — Configure SSD Storage for VMs

By default, Proxmox creates:

local-lvm

This is where VMs will be stored.

This is perfect because:

• It uses the SSD
• Provides excellent performance
• Supports snapshots via LVM-thin

No changes are needed here.

Your VMs will run on fast SSD storage.

Step 3 — Create the ZFS Mirror for Data Storage

Now we configure the HDD mirror.

Navigate to:

Datacenter → Node → Disks → ZFS

Click:

Create: ZFS

Configure the Pool

Name:

tank

RAID Level:

Mirror

Select Disks:

Choose your two 8TB HDDs.

Recommended Options:

These settings optimize performance and disk lifespan.

Click:

Create

Your ZFS mirror is now active.

Step 4 — Add ZFS Storage to Proxmox

Go to:

Datacenter → Storage → Add → ZFS

Configure:

ID:

zfs-data

Pool:

tank

Content:

Select:

✔ ISO Images
✔ Backup

Click:

Add

Now Proxmox can use the ZFS mirror for data and backups.

Verifying the ZFS Pool

SSH into your server and run:

zpool status

You should see:

This confirms the mirror is working correctly.

How This Fits Into Our Backup Architecture

This storage layout perfectly supports our multi-layer backup strategy.

Layer 1 — ZFS Snapshots

Protects:

• File deletion
• Data corruption
• Human mistakes

Layer 2 — ZFS Replication

Syncoid will replicate snapshots to:

• Another server
• Backup location

Layer 3 — Proxmox Backup Server

PBS will store:

• VM backups from SSD storage
• Deduplicated archives
• Disaster recovery images

Common Mistakes to Avoid

Here are some real-world lessons.

Running VMs on HDDs

This causes:

• Slow performance
• High latency
• Poor user experience

Always run VMs on SSD.

Using single-disk ZFS pools

No redundancy = no protection.

Always use mirrors.

Storing backups on the same disk as VMs

A disk failure would destroy both.

Keep them separated.

Ignoring ZFS tuning options

Always enable compression.

What We’ll Build Next

Now that storage is properly designed, we’re ready for automation.

In Part 3, we will configure:

Proxmox Backup Server on Your Main PC Using Virt-Manager

You’ll learn:

• Why Off-Host PBS Matters
• Hardware & Storage Planning
• Virt-Manager Setup

Final Thoughts

Separating SSD performance storage from ZFS data storage is one of the smartest design decisions for a Proxmox homelab.

With this setup:

• VMs run fast on SSD
• Data is protected on ZFS mirror
• Backup workflows are clean and reliable

You’re not just running Proxmox anymore.

You’re running a proper storage architecture.

Next Article:
Running Proxmox Backup Server on Your Main PC Using Virt-Manager (Off-Host PBS Setup)

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Mohammad Dahamshi

Mohammad Dahamshi is a skilled Embedded Software Engineer and web developer. With experience in C/C++, Linux, WordPress, and DevOps tools, he helps businesses solve technical challenges and build reliable digital solutions. Fluent in Arabic, Hebrew, and English, he also runs Saratec, offering web design and digital marketing services.