It is almost impossible to get transfer credit at the graduate level. Review the specific schools policy, I'm sure you will find an explicit statement.

Yes, beware of using a transfer to a "better" school as a strategy.

Better to take the time (and money) you would spend at the first school and put it towards making a stronger portfolio for next year. There are some incredible obstacles to transferring in graduate school (I know, because I just did it), and given the choice you're much better off just being patient and trying to get in where you want to go.

I would agree with what has been said. I too have transferred after my first year in a graduate program and am now on my way into a new program where I received advanced standing - which means I am spending as much time in school as I would have if I stayed in the original program. Personally, looking back on it all, I don't regret my move because I learned invaluable knowledge from that first year. However, do not go into a graduate program already thinking that you may want to transfer out. Take the next year, find an internship and new ways to express yourself that can apply to a portfolio. Make yourself a stronger applicant and then reapply next year. That's just my advice.

In relation to your wanting to attend "an ivy or U. Michigan", that's another topic in itself. Don't expect that those schools are necessarily better for you because they are ranked high or have prestige to their name. Each school will offer you different opportunities but at the end of the day its all about finding the right school for you. Don't think that an ivy is right for you just because its an ivy league or that U. Michigan is right for you because it was ranked no. 1 this year on design intelligence. Instead, ask yourself questions about your own interests, goals, and about where you would ideally want to learn/work and who you would potentially want to learn from (maybe a certain educator that matches your goals) or work for someday. You clearly applied to the school you got admission from for a reason. Does this program answer any of those questions?