You could check out Beehive Forum then, there's no cost for the software, (you just need a place to host it).

It supports HTML (instead of bbcode) and comes with both visual (aka WYSIWYG) and plain text editing modes, so with replying it's user friendly for people that don't know HTML, whilst still being flexible for those that do.

It does have a very different UI to most forums (including phpBB and here), but most people that try it end up preferring the way it works, even if they were initially sceptical.

I wasn't sure what it used for the picture insert (I usually write in HTML), but I just checked and it's the exact same one as here.

So yeah, go give it a try, and see if it fits your needs. :)

 

(I guess if this discussion is going to continue, it might be better moved to the web forum, in case it's considered off-topic in Community Centre.)