Some filters might not care, some might.
The amount of expansion depends on the following factors:
- the amount of water that is being heated
- the delta of the heating (how cold is it coming in versus when fully heated)
It generally isn't all that much - in your case maybe a quart or so. It's not that hard to calculate.
If the water passes through your bladder tank, it won't get stagnant. IN a typical ET, nearly all of the water that gets pushed into it is expelled the next time you use water, so there's not much of any left, and it flushes itself each cycle. If it sits on a dead end, it will not flush itself. It should have more than enough capacity to accept the expansion if you've adjusted the precharge to your new municipal water pressure (note, that may not be constant over the day).
Personally, I wouldn't want that much water sitting mostly stagnant on a dead end. They're getting a bit more sensitive to dead ended lines these days. Functionally, yes it will work.