Anyone heard of www.moveupprogam.com or move-up america? Would trading in your old home to buy a new one work with these types of programs?

From the brief info I read it does not sound like you are "trading" in your home, but giving their real estate company do the selling.
Their company or a contract real estate agent, sells your house without the larger commisison, normally about 6 or 7 percent.
They can do this, since they are making their profit off the home sell.

You could normally make a deal with a local agent for reduced commission if you sign a contract to allow them to sell your current home if you also bought a home though them also.

Plus there are even real estate agents that will sell your home for a flat fee also.

Or even sell your own home for no commission and buy a new home without what I am sure a over ride price from another company.

Also I am sure they will require the home to be priced at a current market value, a problem for many, since home values have went down 50 to 60 percent in many areas.

and buying a already built house is often so much cheaper now than building, due to also the flood of empty, or foreclosed properties