He CAN ask for Proof Of Funds, but not dictate the origin per se. 

Your flipping income should be ordinary income subject to SE tax.

I could learn how to manage contractors, budgeting, scheduling, etc. and also (possibly if it makes sense) to renovate homes with the intent of making them "green" in some shape or form, or, healthier homes per se. - I apologize for the long story!

If you have current SE activity that is expected to continue, you can setup a Solo 401k plan (assuming you don't have full-time employees).

This income will be subject to SE Tax.

Their are no financial requirements per se, just having the paperwork on the 2 deals in place and having a title company experienced will be enough.  

Not cheap per se but very effective way to check out the competition.

We are fortunate in SE Michigan because there are a lot of active RE investors and several regular meetings.

SE Arlington is a great access point to the metroplex; very close to anything you could need but a little bit removed from the business. 

Im not advocating over paying per se, but you also shouldnt miss out on a good opportunity.