Similar thread with some suggestions:
http://www.lfsforum.net/showthread.php?t=7565

I think that if you are driving in cockpit view with arms and wheel off

the best would be:
the wheel display should just be displayed at the same point as if the wheel would be on, just without the wheel around it and not moving (this would look a bit strange I think ).

almost acceptable (maybe a temporary solution) as said before:
locked wheel.

Hope the developers can add this feature without much trouble.

If you want to host LFS games high upload is more important.
The higher your upload rate is the more cars can race on your host.