Can you please try installing the latest
developer's release (at the time of this writing it's svn510) and retry updating Joomla? Normally this should solve this.
Please note, before installing the new release, that if you are
still getting the error message even after changing the permissions of your temporary directory to 0777 the chances of this working are near zero. The error only happens when it is completely impossible to create a new file inside your site's temporary directory. You may not have a permissions issue, you may have a site setup issue. Just check your site's Global Configuration and triple check that the location of the Temp-directory corresponds to your site's tmp directory location. We have some step-by-step instructions in our
installation troubleshooting, under the "Checking your temporary directory" section header.
Nicholas K. Dionysopoulos
Lead Developer and Director
🇬🇷Greek: native 🇬🇧English: excellent 🇫🇷French: basic • 🕐 My time zone is Europe / Athens
Please keep in mind my timezone and cultural differences when reading my replies. Thank you!