I'm not sure that "realistic" and "dream" fit into the same bucket, but I'll go for the dream side. I built my "dream" personal studio of 10 years ago in the garage, condemning our cars to the driveway forever, and have adequate gear and room acoustics for what I normally do, which is mostly record myself, tho I have recorded others, from solo guitarist up to 3-4 person ensembles. In my current setup, I sort of wish for an isolation booth for occasional use. Given space constraints, that alone is probably an unreasonable dream :-)
But my longer-term dream would be a much bigger, nicer place, set up for both audio and video production, that would work both as my personal recording space and as a broadcast/performance space for a small audience. I imagine a studio/venue were acoustic artists could play in a house concert-like setting, combined with webcast, live DVD production, etc, sort of an acoustic Darryl's House, or a micro-micro-micro Austin City Limits. Being in the bay area where the cost of property per square foot is as much as a good microphone, it's not like to happen any time soon, but maybe someday in an alternate universe.
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