Portable and/or mobile IP hosts desiring to connect to the Internet can dynamically acquire a home address and other configuration information through DHCP when powering up in a foreign network. A two-stage configuration procedure is used. First, the mobile host uses the M-IP protocol to establish contact with an addressing element, referred to as a bootstrapping agent, that is usually co-located with a M-IP Home Agent, and that allocates a temporary home address for the mobile host. The temporary address is used to create a temporary tunnel. Second, this temporary tunnel is used as the communication vehicle over which standard DHCP transactions take place. The present invention is thus arranged to use a) M-IP as the signaling mechanism for reaching the home network and dynamically allocating a temporary home address for the mobile host; and b) DHCP to allocate a permanent home address and any other configuration state for the mobile host.