I am also getting this issue with my lumia 920, i went back to check if the issue was the same on my lumia 800 (which has worked without fault for over a year) and the same issue there.
This is not a handest problem, but a marketplace issue. We all just need to sit tight and be a little patient.
The error code ends in "01f7", which in decimal is 503. I think this corresponds to HTTP Error 503 Service Unavailable. If this is true, the error doesn't have anything to do with the phone. It is probably Microsoft's servers that are under too heavy load.
One of my mates had a conversation with MS Customer Support and indeed, there's an outage with the store. As advised, try it again in a few hours as they are working on getting the Marketplace/Store up and running again.