I have resolved the issue!

Was browsing the windows 7 forums for some frech ideas and perhaps similar cases and found one! Appearantly my lack of patience is what got me.

I booted from the DVD, the setup started as it used to, and then I literally had to wait about 18 minutes before the installation would commence. I feel stupid a bit, I usually am patience about these things, but 18 minutes is a looong time, but I'm glad I tried it after all!

Decided to post none the less in case people would run into the same problem. Patience is the key!

Thanks both for all the help, I really appreciate it!

Sven.