You can install Team Foundation Server 2010 or 2012 on a client computer that is running Windows 7 (Windows 7 Home Premium, Windows 7 Professional, Windows 7 Enterprise, Windows 7 Ultimate). If you install TFS 2012, you need install Windows 7 SP1. However,
Client operating systems do not support integration with SharePoint Products or the reporting feature. If you want to use either of these features, you must install Team Foundation Server on a server operating system.
The Team Foundation Installation Guide is a great resource for installing TFS.