You can make a simple rocket fuel out of ingredients that are simple to get and relatively cheap. The engines you make will not be super powerful, but will work for most rocketry projects.
Feel free to try variation when you make rocket fuel. You may come up with even better mixtures. Make this rocket fuel but add in 5g of Fe2O3.
Be careful. Homemade rocket fuel can ignite when you don't expect it. Make sure you can legally make rocket fuel in your locality.
First you will need to obtain the ingredients for the rocket fuel listed here. The only one you may find difficult is potassium nitrate. To get get potassium nitrate (KNO3) go to Lowes and buy Green Light Stump Remover or Spectracide stump remover. This is apx. 90-95% pure KNO3.
In a old pot you don't plan on using anymore mix 150g of KNO3 with 80g sugar 80g of water and a teaspoon of honey. Mix with a wood spoon to avoid sparks.
Take the rocket fuel and go outside. Never make rocket fuel in the house! Run an extension cord from the house to a safe spot in the yard. Use either a hot plate or toaster oven to heat the mixture and make the rocket fuel.
As it heats it will become more solid. The thicker your rocket fuel gets the more often you will need to stir. Once it reaches the consistency of wet sand turn off the heat.
The rocket fuel will cool to the point where it has the consistency of play dough. This is the point where you can mold it. The rocket fuel will become solid within a few hours.