Reposting the instructions.
Here are the steps for an in-place upgrade using the ISO. ISO is preferred because you don't have to download it each time after every failed setup.
- Download Windows 11 Media Creation Tool (MCT) from this link: https://go.microsoft.com/fwlink/?linkid=2156295
- Run MCT and download the ISO it recommends for your system. Do not uncheck "Use the recommended options for this PC".
- Right-click on the downloaded ISO and choose "Mount." This assigns the ISO a drive letter.
- Run setup.exe from the ISO drive. This starts the in-place upgrade/repair installation.
- This starts the setup dialog. In the initial screen, click “Change how Setup downloads updates”
- Select “Not right now”, and continue the process.
(Your files, settings and applications will be preserved if you use the ISO recommended for your system by the Media Creation Tool.)