Hello fellow North Carolinian! Abby and I are located near Raleigh.
To answer your question, yes, your photos have to be hosted on a photo hosting site. Some examples are
http://www.tinypic.com and
http://www.photobucekt.com
Once you have your photos hosted on a photo hosting site you will be given different codes.
To make a picture appear on this site you will copy the code that starts off off your photo hosting site and past it in the message box on BW.
If you need anymore help just let me know. If you know how to attach pictures to emails and can't figure out how to host and post pictures email me at [email]
[email protected][/email] and I'll host them for you.