Before hosting SQL Servers inside virtual environments, check if they're currently accessing data on a SAN. If so, are they using multipathing - meaning, do they have more than one HBA plugged into them? Ae they using any load balancing software to get more SAN throughput - like EMC's PowerPath?
VMware and Hyper-V both restrict a single guest's SAN throughput to 1 HBA right now (10/2008). If you take a database server that's currently getting 2-4 HBA's of throughput and virtualize it, storage performance is going to be pretty bad.
If they're not on a SAN - meaning you're using local disks - be aware that sharing the same set of local disks can be a performance nightmare for SQL Server. Now you're talking about two sets of data files, two sets of logs, and two sets of TempDB on the same set of spindles. That's going to be slow unless you have fairly small databases (under 20-100gb).
Make sure you don't schedule backups, index defrags or other maintenance jobs on both servers at the same time. Stagger them to get the best performance.
Make sure you don't overcommit on memory. If you put both virtual servers on a box with say, 16gb of memory, only set up each guest with 7gb of memory, and set up SQL Server with hard-coded min/max memory settings of 6gb. Yes, in theory you can overcommit VMware on memory, but your performance will suffer. Definitely don't use dynamic memory settings.
One thing you might actually like - if you do backup & restore between the two (instead of data compare & sync) you can get very fast network throughput between guests in the same physical server.