Swap out your CD/DVD drive
I went through the exact same thing with the DVD ISO, CD ISO, reburned mutlple times, installed Nero and burned verified CDs, checked the MD5s and then I read something I think in this forum that got me thinking. I swapped out my DVD burner for an older Sony CD burner and guess what? No problems installing at all from the same CDs!
Try swapping out your CD or DVD drive if you have another available, or maybe pick one up at newegg.com or the local computer store if you can't wait.
Edited: for speeling.