So I managed to get KVM working on my Server.
CPU Info: Intel(R) Core(TM) i5-2500 CPU @ 3.30GH
Kernel: Linux 4.2.1 #2 SMP i686 GNU/Linux
OS: LFS 7.5
Trying to Boot a Win / 64-Bit ISO, it stops with the message "Attempting to load 64-Bit Application, however this CPU is not compatible with 64-Bit mode"
Did I miss something during complilation of KVM/libvirt/qemu - or is it just the fact that the OS and Kernel is 32-Bit?
On the same server I've got VirtualBox running, and it has no problem running the 64-Bit Win OS.
Side question: Anyone managed to get VirtualBox and KVM to run at the same time?