First off, thanks for the quick response. Okay, here we go…
1- I have Resampling disabled in that screenshot.
2- I have attached another screenshot of my Project Properties overlaying the Vegas edits.

3- In full motion, the ghosting and blurred details/textures aren’t acceptable for me– in both SD and HD formats. I’d like to retain the details seen in the “Preview Quality” edits rather than a washed look like the “Best Quality” I’ve been getting. I understand we try to smooth out the sharp and unnatural motions, but this edit will ultimately be made for home use on DVD and Blu-ray. As far as I can tell, Preview Quality gives more crisp and detailed moving pictures than Best Quality.
I’m so lost. o_O
Note: When rendered as Uncompressed AVI or even 720×480 MPEG-2, the end results are the exact same as before. I’ve tried Vegas’ Uncompressed and Lagarith Lossless modes, and Vegas’ MPEG-2. Preview Quality still has sharper, more detailed images, frame-for-frame. I’ll upload the raw MTS file and maybe you guys can play around with it in your leisure time to see what you can get.
Link to RAW .MTS to those who can show me the light.
About 20MB. Shot on HF100, 1920x1080x12 source @ 60i.
https://hotfile.com/dl/20245754/2efcb7f/00021.MTS.html