Is it possible to use Microsoft Skydrive as a source control system where I can check-in and check-out?
SkyDrive doesn't support check-in check-out. You could use SkyDrive Pro against a SharePoint site (you can sign up for a free O365 development license) which would give you most of what you need but there wont be any Visual Studio integration.
But if all you want is the ability to store your source safely off-box then SkyDrive is fine but you'll need to put the compiled binaries somewhere else like this