What to Replicate?

My question is simple, basically I have a simple repeating server setup for my game, and it just replicates information about every player in the room to all other players, just for testing. The issue is, for every client, I update the location of all remote objects to their desired positions by using Lerp in order to get a smooth transition, but it is ULTRA slow , perhaps the TimeDelta is too small? It is called once per update but I suspect that because multiple packets are called the TD becomes too slow. With TD = 1.0, the position updates loook semi choppy and you can see the network latency. Should I be replicated and setting the player's velocities as well... or? Would that fix the problem?