From your description I´m assuming that you are not using vCenter to manage your hosts, correct?
If you have a shared datastore between both hosts you can do the steps you descripte (power off, remove inventory etc.).
For your second case there are multiple ways, it depends where you want to put the vm in the future. Should it be on the shared datastore, which already exists or may to local datastore on the other host? Or is it may an option to show also the current datastore to host 1 ?
If you want to copy the VM-files copy the whole folder of it.
Regards,
Mario