Windows Server 2003 sbs SP2 Migration Issues

I am trying to Migrate my Windows 2003 SBS SP2 to Windows Server 2012 Essentials R2 and have run into an issue.  This is a very small network with few needs.  We have 1 DC (\\DELLSERVER) and less than 10 users.  Everything on the 2012 side seems to be okay with the exception  of promoting the new server (\\HPSERVER) to a Domain Controller.  I raised the domain function level on the 2003 side and all was great there or so I thought.  When I go to promote the 2012 server to a domain controller it still sees the domain function level of the 2003 server as 2000.

On the 2003 server when I perform dcdiag /test:DNS or /test:checksecurityerror I get:

Domain Controller Diagnosis

Performing initial setup:
   [DELLSERVER] LDAP bind failed with error 1323,
   Unable to update the password. The value provided as the current password is
   ***Error: The machine could not attach to the DC because the credentials
   were incorrect.  Check your credentials or specify credentials with
   /u:<domain>\<user> & /p:[<password>|*|""]

When I run repadmin /syncall I get

DsBindWithCred to localhost failed with status 1749 (0x6d5):
    The security context is invalid.

I am not sure where to go from here and would like some advice on some course of action I can take.
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Rickjr_rrcldAuthor Commented:
The problem ended up being a dns issue in the forward lookup zone and some old dns server information on the source servers NIC.  After that I had to install Active Directory Gateway Management Services on 2003 server, and like clockwork I needed a hotfix KB969166 and you could not download it from Microsoft without calling support.  I found a link in the microsoft support forums that linked me to a website With .Net framework patched up it was smooth sailing from there.  The Destination 2012 server recognized the source server 2003 forest and domain function level and the transfer to the new server began.
2012 R2 Essentials is indeed a different beast when it comes to migrations. There is no longer a GUI. Now you simply cancel out of the configuration wizard, join an existing domain, then resume the configuration wizard after you've joined.

The exact process is documented here, including the config cancellation step:
Rickjr_rrcldAuthor Commented:
I have already joined the domain, but I will go through this article and see if I missed anything.  I was using this article below to confirm my settings.
Rickjr_rrcldAuthor Commented:
Once more sleep was involved I looked at the DCdiag info more closely and that pointed me in the right direction.  I did not anticipate this much trouble with the migration especially since the function levels had been already raised.  Persistence on the support forums lead me to completing this migration after much headache.
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