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#21
I have a slightly different suggestion. Assuming you have the Windows7 installation disk, why don't you install it independently of XP on one of your physical drives that does not have XP on it. Just disconnect the XP drive and install Win7. Then you can switch between the systems with the BIOS boot sequence. You may still have to fix the bootrecord on the XP partition though after you deleted your current win7.
I have that setup with Vista and win7. The big advantage is that you can manipulate (e.g. delete) one system completely independent of the other without effecting the one you want to retain.
In addition I setup a seperate data partition and share the data between both system - never need to sync my data. Best is to do it from the XP side and then just include those folders into the win7 library.