I am modeling the user sign-in and account creation of a social network and have to create a hash function (not using hashlib) using my own hashing algorithm. The point of it is to take a password and hash it so that it becomes a random string of letters and numbers. The hashed password should also change dramatically when only one letter of the password is changed. For example, if "heyguys" goes to 7h8362, "hayguys" would go to something totally different like "bbb362". A small change in input string should result in a large change in output string. The reason I am doing this is because I am storing user data in a dictionary and it is dangerous to store a password in plaintext.
How would I go about doing this? I am a beginner and know hashlib but other than that, I cannot seem to figure out where to even begin.