Shooting not working as intended (with steam)

Hey,
I’m trying to get a fairly simple shooting system to work: Multiplayer game with dedicated servers, players have weapons that spawn projectiles that are supposed to hurt the person they hit.

As of now, we havent been able to set up a dedicated server working with steam, so were play testing with a listen server and hope, that we get the same results as with a dedicated server (more regarding this later on).

My first (and logical) attempt was to spawn a single replicating bullet on the server (consisting of a capsule collision and a static mesh without collision) and OnComponentBeginOverlap the server was supposed to handle damage and the client effects (impact sound and explosion effect). It SEEMED to work fine when i play tested locally in the editor with a dedicated server. However the packaged version with the listen server showed, that once a bullet has been shot a lag effect occurs, which makes it look like a bullet is being shot from that position over and over again. I found this to be related to the life span, because previously a bullet would only be destroyed if it hit something (the lag effect still occured even with the bullet destroyed). However after adding a lifespan of, for example, 3 seconds, the lag effect would only occur for 3 seconds and then stop. Since our maps are quite large, a predetermined life spawn is not an option at this point.

This made me switch to a different approach:

I’m currently spawning a non-replicating bullet on the server and all clients, which solved the lag effect, however made both the impact location inaccurate and some hits dont register the collision at all on the packaged game. Solution also works flawlessly with dedicated and listen server in the editor.

The question now is: Is this related to the solutions, that might be using wrong logic, or is it related to networking/steam?