Start with the latest official installer wSP1 ISO burned to disk or written to flash stick from Steps 1/2 in Clean Reinstall - Factory OEM Windows 7
which steps will get you a perfect reinstall so study closely.
In addition wipe the HD first with Diskpart Clean Command
accessing Command Line by pressing Shift + F10 at first screen when booting installer.
If install hangs again, enter Device Manager during the final phase to Disable any erroring devices (!), likely the Display Adapter: Device Manager - Access During Windows 7 Installation
. Then if install will complete update driver