Yes using dynamic pricing will have some performance hit. Usually dynamic pricing would be used on the shopping cart when a customer has added an item to the cart and and other purchase process flow pages. Whether to use dynamic pricing on a product page or search results page would actually depend on your business goals and any specific requirements. You should evaluate the best approach possible keeping the requirements and site performance in balance.
It is mentioned in the documentation as well that one of the best practice is to combine dynamic pricing with static pricing. You can use dynamic pricing on certain templates or for some types of customers while implementing static pricing for the remaining ones.