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Upgrading Domain Controller to Server 2012

We are upgrading the hardware of our Domain Controller which is Server 2008 (not R2).  We only have one DC in our domain.  What I plan to do is this...

-Install Server 2012 on new server
-Promote new server running Server 2012 to Domain Controller
-Demote old domain controller on Server 2008

Would this be the right sequence?  Will there be an issue going from Active Directory 2008 to 2012?  Anything I need to be aware of?  Do I first need to migrate AD to 2012?
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I should have asked this before, but will there be any downtime?
Not if you do it right.