Hi Wes,
Like Moz, we tend to hold-off sowing until mid to late Feb - more light means less troublesome seedlings. If the compost plugs sold with the growing kits are kept in good light and you let them have some air on hotter days, and eventually take the lid off, they can stay in the trays until they are about 10cm high without getting too leggy due to competition with their neighbours. Because we need to germinate so many, we sow them like cress (see image) which means we have to prick them out as soon as they can be handled to avoid them getting leggy.
It's not idea, but if we do produce leggy seedlings, we just plant them deeper when potting-on.
For growing plants for indoor use or in less than ideal lighting, it's a good idea to grow a variety that doesn't have the desire to be a big plant. We have just added more seeds in our list that would suit:
Halloween; Thanksgiving; Memorial Day, Christmas; Valentine's Day; Apache and Prairie Fire are all small plants.
That's not to say that the varieties you have can't be grown indoors, just that they are more likely to grow tall if they don't see enough sunlight - the bigger the plant grows in ideal conditions, the leggier it will grow in poor light. If the light is OK, you can control the plant size with the pot you use - a 1Ltr or 2Ltr pot is probably the most you'll need for an indoor plant.
Sante Fe and Twilight are usually keen to germinate; Hanaberos tent to be fussy as seedlings but fine as mature plants. If you have more than one tray on the go, just rearrange the compost plugs so that each tray has seedlings at a similar stage – that helps mange things better.
Compost - we use John Innes formula number 2 from 3" pots upwards. We use a supplier from Somerset - it is very loose (lots of grit), which chillies prefer. If you have compost that looks a little airless, add some grit or Perlite to improve the drainage.
Chers, Steve
SDCF