I could not get my clean and registered W7 installation to find (stuck on searching for updates) or install already downloaded updates. I am not a programmer nor a person who understands the inner workings of the Microsoft update service. All I know is that I wasted a lot of time trying to follow multiple solutions to no avail until I came across Microsoft developer forum which pointed me in the right direction. Below procedure worked for me and I understand that there may be a faster process for this.
Download and run Windows Updates Downloader and follow these instructions (they are safe and legal; the video however does not show how to install the updates so follow on with the steps below)
https://www.youtube.com/watch?v=01dFJey0d3k
All downloaded updates will be in your Documents folder
1. Open elevated Command Prompt
2. Open Task Manager
3. Keep both of them open
4. Open one of the updates and double click; this will open update in Windows Update Standalone Installer; update may install right away in which case you go to the next one after the installation is done
5. If it takes the Windows Update Standalone Installer more than 5 seconds to "Searching for updates on this computer" (you can tell by looking at the top of the Windows Update Standalone Installer and it'll show what it is currently doing) go inside the Command Prompt and type "net stop wuaserv" without quotes and press enter; this will stop the update service
6. Go to Task Manager/Processes, locate "wusa.exe" and stop the process; this will close the "Searching for updates on this computer" window
7. Double click on update again and Windows Update Standalone Installer should now show that it is "Preparing the update..." followed by "Searching for updates on this computer" and finally, the installation
8. Close the "Installation Successful" window and double click another update; you do not have to reboot at this time.
9. If Windows Update Standalone Installer" starts "Searching for updates on this computer" and is stuck doing it for more than 5 seconds, repeat steps 5 through 7.
10. It is not necessary to reboot your computer each time. Just install as many as you want and then reboot if you wish.
11. The above worked for every single update that I was not able to find or install automatically on my clean and registered W7 installation.
P.S. I am almost done with all the updates and the one that is giving me grief is the .Net Framework which for whatever reason does not want to install itself on my SSD "C:" partition, and defaults to my HDD "E:" partition that I use for storage instead. After all is done, I hope that the system will finally be able to automatically search and install updates.