WP7 Screen Recording App lets you record your actions on Windows Phone in full mode and it can be done over WiFi which means you might be demoing it to somebody in your house but back at your computer everything is getting record. The current version of the app can record at 5.1FPS.
How it works ?
Once you install the app, you need to install a sever on your computer. Done that the client streams your screen to the server where you can configure it to record it. In the App you need to set your Server Name as your computer name but if it cannot be resolved you can replace it with an IP. You can record this in full screen.
However looking at the video demo ( wifi ), this cannot be used for real time apps, preferably games because there seems to be bit of delay even when you scroll. So unless that streams out this cannot be used for all app recording.
This is Homebrew :
It is not available in Windows Phone Market Place but since this is homebrew app you need to have an unlock phone to try it.