Upgrading iLife and OS X and I have no idea what to do!!!

Well, I finally broke down and bought a new hard drive. I currently have iLife '06 and Leopard (upgraded from Tiger) on my MacBook. I'm looking to purchase iLife (maybe from ebay, I'm looking for around $40) and want to do a clean install of everything, but I don't know how to do it.

I bought an enclosure for my current hard drive, so accessing the old information isn't a problem. What I don't know is, will I have to install iPhoto '06, move everything over, and then upgrade to iPhoto '08? Can I just point the upgraded iPhoto and iTunes to the old data on the old hard drive and have it automatically transfer everything to the new hard drive and put everything where it needs to go?

I'm going to be doing this in a few days. I'm waiting for everything to come in, and still looking for an inexpensive iLife '08. If I can't find one, I'll probably stick with '06, but, I'd like to upgrade everything all at once.

That's what I was thinking, and I think that's what I did with iTunes in the past. What I was concerned with is that, from what I've heard, iPhoto '08 has just one "file" in it's directory which contains all the photos and data and what not, while iPhoto '06 (which I have), keeps everything in folders.

If this is the case, how would I move it over? Or am I missing something?