Yes Dom, you are pricing yourself out of the market because you are too cheap. Most companies will have an idea of how much they want to pay for a website, and if you're not close then they will walk away - under or over.
As a guide, our consultancy is £500+VAT per day, but we usually charge fixed price on websites once a spec has been agreed. Basically it starts at £2K and goes from there depending on complexity. Remember that most of our stuff isn't just pages though, ours is mostly scripting work.
It doesn't matter that we pay £9+VAT per month for hosting, we'll charge out what the client expects us too.
My trick is to research them first while discussing what they want. If they're already paying for a website, find out who it is with (then find out how much they typically charge) or ask them how much they pay. Alternatively, ask them how much they're expecting to spend "so you know roughly how much customisation they can afford" and then go in slightly over.
Always works for me
