Website help

I am currently designing a layout using dreamweaver. Although, I'm having some trouble with my layout. I have designed my layout exactly how I wanted it to be. There is just one problem, when I transfer my design to the internet, it come's out all mis-colored, no picture's, and it's nothing like what I had made.

The link to what it comes out to be after the transfer is: http://free.hostultra.com/~zeldag/Home.html

I also contacted the place where I bought my template and asked the same question and they said:
"Make sure your HTML editor isn't breaking the image links by telling to to use relative paths."
Could anyone tell me what that means?

you need to put your images on your webspace then change the direcories in the html document.

You are also directly linking to your Computer. Change that
Upload your images, and direct the urls to the images.

So....I have to upload every image to photobucket or something?

Yes, that is exactly what they are saying. Then replace that information with the other pictures source thing. That will help everything!

Because I'm a nice person i have edited your website so that all you have to do is create a folder on your webspace called 'images' so the url to the imahes would be
http://free.hostultra.com/~zeldag/images
then all you need to do is put all the images you used in that folder. the last thing you have to do is use this modified version of your Home.html file ( I changed all the image tags in it )

http://www.uploadthis.co.uk/uploads/Domanic/Home.html

It may not look like it has worked now, but when you put it on your webspace It will

Yes. To make your site database look neat and organized, don't forget to create a folder called something like "image", as uno has said.

And when you have uploaded all the images onto your webserver (I'm sure your free server has the uploading capabilities), all you need to do is type out the directory path of your images.

So, let's say if your top banner is "banner.jpg" and you've uploaded to the "image" folder, the path of that folder and the file will be: "/image/banner.jpg". But now you want your banner to be displayed at the top of your page, so you type in (if you are not using <table> tags): "../image/banner.jpg" and that will solve your problem.