Preheat oven at 350°F.

Heat sugar to create caramel.

Once sugar is melted, pour into a pan and evenly cover all surfaces up to 1/2" of the edge of the pan.

Mix condensed milk, evaporated milk, vanilla, cream cheese and eggs in a blender.

Pour mixture over caramel.

Pour water into a mold larger than the mold for the flan.

Place flan mold in the mold with the water.

Place pans in oven for an hour.

Remove pan and allow to cool on its own.

Once cold you can remove it from the mold.