Preheat oven.

In a saucepan, melt sugar over medium heat to make caramel; pour into flan mold.

In a blender, combine sweetened condensed milk, evaporated milk, eggs, and vanilla extract; blend until smooth.

Pour the mixture over the caramel in the mold.

Place the mold in a larger baking dish and fill the dish with water to create a water bath.

Bake for one hour or until set.

Let cool, then refrigerate before serving.