What about RDP, LogMeIn or Team Viewer?
I second the LogMeIn recommendation. Free and nice and easy to setup, accessible from anywhere in the world and will even let you wake on lan if it's configured.
If anybody read any part of the thread they would see we were not talking about connecting two computers. That's very easy. Before this post the thread was about hooking a computer in one room up to a monitor, mouse, and keyboard in a different room. NOT two computers in two different rooms.
That's what I ended up having to do though. I ended up just buying a cheap laptop to use as a client.
I bought a Chromebook and hooking it up to my monitor, mouse, and keyboard. Then I use logmein or ChromeRDC.
The price of a decent non line of site VGA extender or wireless KVM is as much or almost as much as a Chromebok. And I can use the Chrmebook for more and now that I am playing with it the Chrome OS is actually really cool.