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rpmbuild -ba qemu-kvm.spec
...
patching file os-posix.c
can't find file to patch at input line 25
Perhaps you used the wrong -p or --strip option?
The text leading up to this was:
--------------------------
|diff --git a/redhat/qemu-kvm.spec.template b/redhat/qemu-kvm.spec.template
|index 84088eb..646eb1a 100644
--------------------------
File to patch:

And also 

patching file hw/virtio/virtio-pci.c
can't find file to patch at input line 117
Perhaps you used the wrong -p or --strip option?
The text leading up to this was:
--------------------------
|diff --git a/redhat/qemu-kvm.spec.template b/redhat/qemu-kvm.spec.template
|index d1fb86f..95a1660 100644
--------------------------
File to patch:

If both questions are answered with <enter> the package builds, but without the patches. This suggests that a permissive build envirnment that ignores patch errors, annulled the efforts that were put into the patches.

Can you please provide version of qemu-kvm.spec you are using. This issue should be fixed in qemu-kvm-1.5.3-22.el7.

The one I used is the only one that has been released in el7, http://ftp.redhat.com/pub/redhat/rhel/beta/7/source/SRPMS/qemu-kvm-1.5.3-19.el7.src.rpm .

*** This bug has been marked as a duplicate of bug 1040222 ***

As I mentioned earlier, problem is fixed in later release. To solve the issue manualy use grep "/redhat/" *.patch in SOURCE directory and delete all chunks (only chunks not whole patches) for /redhat/* files.