virtualbox.org

When I'm doing 'ipconfig /all' in win7 pro (host), the dhcp status shown there in the command prompt is not the same as what's in VirtualBox GUI (File -> preferences -> Network -> VirtualBox host-only ethernet adapter -> DHCP. I have it enabled there, whereas, ipconfig is showing its not enabled. I even rebooted the machine after changing the setting in the GUI to see if its correctly reflecting when I'm doing ipconfig without any luck. Any explanation behind this.

Not without you posting some information.

What kind of info you are looking for

I see you edited the OP. Now I see that this is being seen on the host I can tell you that the host side is not using the host-only DHCP server. It is a fixed address to keep from having a DHCP server conflict. The guest should see the DHCP server though.

When you check ipconfig on the host you are only checking the settings obtained for your NICs, which is a static IP for the host-only interface.
When you check on the guest, you should see an IP obtained via DHCP for the interface binded to the host-only.
That is because you want the guest to have an auto-configuration, not the host. The host should have a fixed IP address as it act as a server for the DHCP, and possible for other networking services.

Virtualbox is the one providing a DHCP service in software and cannot be seen from the OS itself. You need to check with the vboxmanage command or via the GUI.

So what you see is perfectly fine.