I'm not sure you need streamer... mencoder should be enough. I highly recommend that you read this excellent resource:
http://www.mplayerhq.hu/DOCS/
You'll know everything you need to know about the DVD format, about how to obtain the maximum quality without "wasting bits", and so on.
Keep us informed. For your information, I'm currently in the process of transfering all my old VHS tapes to CD/DVD. I first record (real-time) in "almost lossless" format on disk (about 5GB for 2 hours) using mencoder, then I use mencoder again to do a two-pass encoding, which takes between 10 and 36 hours for a two-hour movie on my 1GHz VIA CPU.
I first try SVCD (viewable on any DVD reader); if quality is not enough, I try mpeg4 for a 700MB record; if quality is still not enough, I revert to mpeg2 for a DVD.
Yves.