[HELP] Home network configuration

[MaSSive]

I have been struggling lately with my network configuration, and to make things worse, I cant physically access the hardware non stop cause its below me in the other apartment. I am controlling the hardware remotely over wifi, but seems like I am having issues with DHCP and probably having two NAT or two subnets. That is how I found it configured its not mine work, so I have been investigating this setup, and found this ( I made this quick in mspaint just for reference )



So what we have here is xDSL modem with Wifi functionality, currently set as 802.11g AP, and another device is Wifi router set as AP in 802.11n mode. What causes the issues is that router is connected with modem over cable trough wan port. Basically modem > lan port > wan port > router. In this way I have two subnets, and cant have dhcp running on both, so I was thinking of setting it up as shown on the image above. Is this correct setup? Oh and Ive tried WDS numerous times they just wont work together. Your input is of great value. Thanks.

[LITOralis.nMd]

Putting the N router into Bridge mode would be the easiest option. The SSID must not be the same. Then make sure they aren't transmitting on the same G channel so you don't cause interference for the downstairs users's WiFi.

Here is the general idea, though you have a slightly different setup due to the combined modem/router, but should get the concept cleared up for you:
Cascading or Connecting a Linksys router to another router

ii. LAN to WAN – Connecting one of the Ethernet ports (LAN ports) of the main router to the Internet port (WAN port) of the secondary router.

[LITOralis.nMd]

And yes, set the modem/router to router as a static route:
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[MaSSive]

I was thinking of doing Lan to Lan configuration. I dont want/need two subnets. It is acting weird when I turn on DHCP on second router, and with DHCP off on router 2, clients cant connect to it ( over Wifi ), because they are not getting IP automatically trough WAN port. Or does it need some static route in router 2?

Just to be clear I need to setup static LAN IP of second router out of DHCP range of the first router?

IE:

Router 1 LAN IP 192.168.1.1 - DHCP range 192.168.100-200
Router 2 LAN IP 192.168.1.2 - DHCP off

Al clients connected to router 1 and 2 will get IP in range of router 1 DHCP?

What about router 2 gateway? Its supposed to be 192.168.1.1 right? And for DNS if I override router 1 LAN IP and dont set to 192.168.1.1 but instead use my ISP DNS directly in router 2?

Note that most of the clients if not all are connecting to both routers over wifi connection. Only wired connection is between router 1 and 2. One of the reasons is they are both in apartment below, one being main modem/gateway, the other serving as AP for clients above.

[LITOralis.nMd]

Unless you are sharing printers through a PC's USB port, just use Bridge mode from your second router's manufacturer's website instructions and be done with it.

here is instructions for classic linksys routers:
Setting up your Linksys Smart Wi-Fi Router to Bridge Mode using the Classic firmware