We use NFS for our VM's and one consideration is network speed. 10Gbe would be recommended for the storage if you're connecting more than one host to the SAN. We have 4 Gb ports on our san that correspond to each host we're running Proxmox on.
Local storage will be comparably faster since there no network latency and all happening in one machine. Specially during backup you will big performance on local storage. But at the same time you lose out from the benefit of having shared storage such as NFS.
If your setup is very small say 1 node, you really dont have any valid reason to use NFS since if the node fails you will be down any way. Shared storage allows migration of VM from one node to other in case one fails.
You can use local storage for VM running and use a NFS share for backup daily. That way you will have your VMs safe when proxmox node fails or if NFS node fails you will still have your VMs in main node.
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