My HR20 is in my living room and wired directly to my router using CAT5. The router is in the den. My HR22 is in my bedroom upstairs and is connected via the wireless N Ethernet bridge. SD and MPEG4 HD works just fine with smooth playback although the trick play can lag some. However, OTA MPEG2 recorded on my HR22 doesn't work well. It's very jumpy and sometimes won't play at all. And if it won't start playing something gets fouled up and then I usually have to restart both receivers to get MRV working again. So I avoid the MPEG2 HD which are much bigger files than the MPEG4 HD.
I record OTA MPEG2 in my bedroom because for the time being I only have one sat tuner activate on my bedroom HR22. But with the OTA input the OTA signal is split internally, therefore 2 OTA tuners can be active at the same time or one OTA tuner and one sat tuner at the same time. So all of my local network recordings are done OTA. Come the middle of May when my college age sister in law moves out, I will move one of the two cables going to that DVR to my HR22 so I can have 2 sat tuners active in my bedroom. Because of my 3 older R15s, I don't have a SWM setup.