My question is do I have to transfer funds to my checking/ savings account and let it "season" for 60 days before using it for down payment/closing costs for the purpose of getting a mortgage?

Based on the fact that you are a full time student with no money and no credit your best approach would be to concentrate on school, if that is your desire, graduate, save money and build your credit.

Ya, i understand that commissions come slower and bigger compared to homes, but i was prepared for that wait, because i am currently living all on my passive income of my current rental portfolio as long as i stay within my means and have a few months worth of living expenses saved away for the times i loose a renter and have a vacancy. 

Hoping this move will help us save more money to put towards our next deal.I am still fairly new to this, but let me take a swing at your questions.1.

@Ryan EllisAn assigned Lo agreement Mortg brokers don't likeI enter into a Lo agreement with seller w letter of intent to assign and get a fee from tenant buyer, then record the option, then charge an option release fee to buyer, keeping the same terms, option release fee is NOT part of original option, buyer needs to qualify w their own saved down paymentInterview a few mortgage brokers about FHA Mortg qualification 

@Sean Murray I am a UoR alum as well and agree the surrounding neighborhoods would make decent rentals - save for the ones directly south of campus.

An ounce of prevention is worth a pound of cure.Do your due diligence up front and it will save you a lot of grief and $$$ later.

@Kay KeovongphetIf you are still employed by Boeing and under the age of 59 1/2, you will not be able to transfer your funds elsewhere.Once you change jobs or reach retirement age, you would have the ability to move to a different plan.

The following covers the prohibited transaction rules. https://www.irs.gov/retirement-plans/retirement-plan-investments-faqs

My purpose is to retire in 10 years.