#1 What makes real time editing or rendering, is it the software, hardware or a combination of both.
Both. Although hardware can do a good deal to speed things up, it can also complicate some things. From your goals, it doesn't sound like Realtime output would be a big concern. What you want is "Realtime Preview". That way you can make all the neccesary changes while editing and then do a final render at the end.
#2 What is the difference between a on board Capture card and a external converter like let's say the Canupos ADVC 110?
They both do pretty much the same thing, convert analog video into digital 1's and 0's that you cna manipulate on your computer. I like the Canopus external converter because you can take pretty much any analog source and connect it to your computer from the firewire port. And it will be 1 less card in your computer.
#3 What is the difference between Mpeg2, Mpeg4, ect....will I need an encoder.
Those are all compression codecs. DVD's are encoded as mpeg 2 files, some new HD-DVD material is coming out in Mpeg4. Most software these days will come with an encoder in their program so you can output to different formats (more include quicktime, windows media, real player etc.) If you want to make a DVD, there will be a step where the video gets encoded to mpeg2. As far as capturing, try to leave the footage in AVI for editing. The computer can handle that fairly easily.
Now all this info, you probally want some good links for editing software. Well, here ya go:
Sony Media Software -
http://mediasoftware.sonypictures.com/products/vegasfamily.asp
These guys make my favorite editing program Vegas 5 (~$600) and their little brother, Vegas Movie Studio (~$99) is just as easy to learn and operate. These would be the programs I reccomend.
But there are other options out there:
Adobe Premiere Pro
http://www.adobe.com/products/premiere/main.html
And the little brother, Premiere Elements
http://www.adobe.com/products/premiereel/main.html
Ulead makes Mediastudio Pro
http://www.ulead.com/msp/runme.htm
and Video studio
http://www.ulead.com/vs/runme.htm
Now how do you choose which one is right for you? They all have demos. So download them and try thme out. Look for one that is logical to you and play around with them. See which one you like and then go from there. If you need any other help feel free to email me at
kingkool68@gmail.com Good luck!