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I personally use Dreamweaver 2004. It seems like over-kill for a beginner but it makes it really easy to learn. Lots of functions are built into it so there is no hard coding. Plus there are many templets, including templetes that are designed for photos. I work at a university so dreamweaver 2004 is only $86. So it might not be practical if you have to pay full price for it.

As for hosting. GoDaddy is great. There prices are the best around. Hosting starts out at $3.95 a month. Plus customer service is great. If you have a problem expect it to be solved very quickly. I buy all my domains through godaddy, and have one hosted through them too. GoDaddy

I hope this helps out. I had no experience with web design or hosting and this is the setup that I went with.
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