Having just acquired myself a laser printer (for nothing! someone threw it out on the street and it works perfect!) and some photo paper, I've just tried your method and it works a charm! Previously I was using PnP - Results were alright, but the stuff is horridly expensive! I have definitely been converted..
I added one slight modification to your method - to cool the board, I threw it in the freezer for about 3 minutes.
PS for anyone who is interested, the paper I used was Kodak "Everyday Picture Paper for inkjet prints" (the glossy version)
i used a laser printer and a paper in magazine. First design your pcb layout in any pcb desginer program. After designing, print it with a paper from a time magazine or newsweek. after printing, place the printout in copper side of the pcb then use a hot flat iron to transfer the circuit.
i tried this before. its good!
for better explanation try to search in google.