I too just publish to a folder and then upload it to my normal ftp host. It works great except for the fact that I can't use the new comments feature of iWeb. I don't know how much you know about web stuff, but for kicks you could also publish it to your Library/WebServer/Documents/ folder and host it from your own computer.
All you have to do is empty that folder of its existing contents and then publish your site to that folder. If you go to System Preferences/Sharing and type a short name in the "Computer's Name" box, and check the box that says "Personal Web Sharing", then other people on your local network can view your site by going to http://theNameYouJustChoseForYourComputersName.local or to your local network IP Address. Just be sure to go back into preferences/sharing and uncheck the Personal Web Sharing box when you no longer want to share it.