Basically what you need is to integrate a user registration system with a file manager. I suppose this will work to offer free web hosting to your users where they'll upload their website.
I've taken a look at that site you just posted. It seems that it does exactly what you need. However you said you had problems installing it. You could try telling us your problem and we'll see what we can do.
I always promote the DO-YOUR-OWN-SHITE mentality. I was a real nOOb up to 2 months ago, now i consider myself as an intermediate. You learn by experimenting not buy getting ready-made script. Of course, ready-made scripts help the community it so many ways...Example : No Time To Code, Don't Want To Code, Don't know how to code something specific, so you download a script that does what you want, study it and continue your work. But anywayz... It's really not that hard to make that kind of system you want.