In VR, with tracked controllers, your hand movements are entirely 1:1 with your irl hand movements. Same with your head, the Lighthouse tracking is sub-millimeter accurate. There will be no inaccuracy. The only think that will look janky in Hover Junkers will be other players, because they're using just Head orientation and hand position to animate the body movements.
Reminds me of how people would try to mimic their avatar movements in Kinect, but it works for reals this time.
As far as locomotion goes, that's the big problem of our day. It's a huge technical limitation, but it also gives developers a great obstacle to solve creatively. You only have a space for a room to move around, and you can't move outside that space? How about you move the room instead? Brilliant!
As far as gamepad/k&m are concerned, those work for certain games, but generally anyone playing IN VR won't be playing against people NOT in VR. Unless they're hacking VR functionality into a traditional game, or the game is designed specifically for people in and out of VR, like Keep Talking and Nobody Explodes. M&K are going to have very specific use-cases in VR. Luckily it seems like there's a few companies who have ironed out keyboard & finger tracking though the use of just a webcam on your monitor.
Bottom line: traditional joystick movement in VR is NOT gonna fly. Gonna make everyone sick. But that's honestly not a bad thing. We just have to design around that, and we're already seeing some amazing things being born as a result.