In a heavy-bottomed saucepan, place the ingredients for the caramel. Swirl to wet the sugar and cook on medium to medium-high until golden brown in color. Be careful not to burn the caramel. Pour into your choice of mold (I used a 9x5” loaf pan). Let cool.
In a large bowl, place the egg yolks and condensed milk. Break the yolks and stir the mixture gently with a wooden spoon. Add the rest of the ingredients and stir until everything is well mixed.
Strain the flan mixture 3x using a fine sieve or cheesecloth. Remove the bubbles that rise to the top and gently pour mixture on top of ALREADY COOLED caramel. Cover pan tightly with aluminum foil.
Pour about 1/4 inch hot water on a bigger baking pan and place the mold on top. The water level should reach halfway of the flan mixture. Add more water if needed.
Bake for 1 hour. Remove from the water bath and cool completely. Refrigerate for at least 2 hours before unmolding.
To unmold, run a small spatula or paring knife around the mold to loosen flan. Place the serving dish on top of the mold and quickly flip upside-down to release. (see Notes)
Notes
*** To help loosen the flan, pour hot water on a baking pan and place the mold on top. Wait for a few minutes until the caramel starts to melt before unmolding.