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Editing requires RAM while converting is CPU intensive, to increase speed you need a fast CPU or a program that can utilize multi-core CPU's.
https://forum.videohelp.com/threads/339450-What-do-i-need-if-CPU-usage-goes-100-when-video-editing -
If you need to use your computer while encoding just turn town the priority of the encoder. You'll barely be able to tell it's running in the background.
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I consider Vegas a low CPU usage video editor. Based on what you wrote, Virtualdub should fit your needs. It's free and simple to use.
Got my retirement plans all set. Looks like I only have to work another 5 years after I die........