I live in a home built in 1918. The previous owners owned the house for 60 years and wallpapered half the walls and ceiling (from floor to halfway up the wall is paneling, the other half the wall to the ceiling and ceiling included is wallpaper). Plaster and lath underly the wallpaper. We want to paint the rooms but are undecided as to what would be the better option. Here are some scenarios we have visited:

1. Keep paneling up. Paint over wallpapered walls and ceiling. Unsure if wallpaper will bleed through and amount of paint needed to coat and cover the wallpaper.

2. Remove paneling and plaster down to the lathes and install drywall. Have been informed that this is a very time consuming, yet messy process. Is the plaster better to keep up since it remains a stronger reinforcer for the walls?

3. Remove paneling and wallpaper only. Repair plastered walls (cracks, holes, etc.) and repaint. However, we have yet to peek under the paneling to see if its plaster or just the lathes.

Also, we have 12 foot ceilings in the entire house. Not sure if that makes any difference.

Any help or insight is greatly appreciated. Thanks