We played this scenario the other day using the standard setup, no house rules, three players. We all had different ideas about what sorts of squads to run. I ran 3 cheap TIEs, Mike ran a cheap TIE and an Interceptor, and Kelley ran an E-Wing with extra cheese.
Both Kelley and I found it a lot of fun. I think Mike did, too, but the middle of the race was wobbly for him as his Interceptor was one-shotted. Ultimately I won with my last remaining TIE, Mike would've crossed the finish line the next turn, and Kelley's E-Wing would have come in third. Every ship had taken some damage and a lucky roll here or there might have taken both me and Mike out of the race.
Overall I think it's balanced enough that house rules aren't needed, but they're there if you want them. On the BGG thread about this scenario, one poster is concerned that Bounty Hunter + Engine Upgrade will run away with it. After playing it, my impression is that focus-firing from the rest of the field, or blocking with an interference-runner or lower PS ship, might prevent that from being a sure bet. But I'd love to see it!
Play time was just about right -- maybe 60 minutes including squad-building.