L.,
You've gotten some great advice... I would echo the fact that there's good and bad to both options. I had my son in home daycare from the time he was 4 months old until about 2.5. It was an older woman, very grandmotherly, just what every mama wants for her little baby, just lots of love and attention! He outgrew that situation at about 20 months, but it took a few months for me to admit that he needed more activity because 'Oma' was so wonderful and had really become a part of our family! He even spent the night there once when we had an overnight date!!!
At that point we wanted to move him to another home daycare because that's all we knew and thought that was best, not so... The place we moved him appeared to be wonderful and for all intents and purposes it was wonderful, it came highly recommended and people said there was always a wait list to get into this particular home daycare. Well it didn't work out for our family because my husband and I both work at home so we have the luxury of lazy mornings and like to spend as much time with our son as we can but this daycare provider wanted him there at a specific time and was not at all flexible. Also, it was NOT cheaper than the daycare center, so that's not a given about home daycares.
We ended up pulling him out of there and putting him at Kindercare (at the time it was called Children's Learning World) in Schaumburg and have been so pleased with that decision. They do NOT have high turnover as a previous poster stated, the director and asst director have been there for over 20 years and most of the teachers have been there 10 years plus!! Yes, kids get sick from being around a lot of other kids, but that just builds up their immune system as was proven by the poster who said their infant got sick a lot but after they moved them to the place where they separate the infants and toddlers, not so much. Well that's probably because their immune system is now stronger. My son hardly ever gets sick now and I'm sure that's because of all those colds he caught in previous years!!
Anyway, this is a very difficult decision for any mama, and if there is any way financially you can work it out to stay home, that's always the best thing, but as others have said, ask a lot of questions, visit the facilities and listen to your gut. Also personal recommendations are always great too! But remember just because a daycare situation was good for one family doesn't mean it's going to be good for yours, decide what your main needs are (like for us it was time flexibility, median cost, and teachers that worked well with a high-spirited little boy) and make your decisions based on that.