The loop itselfA digital recorder continually records data from one side of its memory disk to the other. When it reaches the end of the disk, it returns to the beginning and records over previously recorded data. This cycle continues as long as the device is turned on. Once it starts recording over prior data, it does so indefinitely, with no ability to delete data, place it in a "bin" or perform an "undo".
Nobody can tell you how longNot over the phone, and not just from the make and model. The disk size, number of cameras, image resolution, frame rates, compressions and if it's always running or only when there is motion affect the total number of hours. If someone gives you a number without being able to see the actual system they're guessing.
How you find that outAsk your own DVR. Look through its playback calendar and note the earliest date it shows activity on each individual camera. That's where your footage begins today, and it will continue to move forward by an additional hour with every hour the device continues to run. Write that down first.
What overwritten meansEach sector on a hard drive records only one state per sector. When that state changes due to new video recorded into that sector, all previous states disappear; there are no other layers of data below that can be recovered. Fragments often exist from partially overwritten recordings, and we go after those. But if a complete recording fills the space entirely, nothing will ever come back from that area again. Anyone telling you differently is trying to sell you something.