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Yes, you can apply peel-and-stick wallpaper over wood paneling, but it requires significant preparation for a good result. Peel-and-stick wallpaper has a weaker adhesive than traditional wallpaper and works best on smooth, non-textured surfaces like painted or primed drywall. Because wood paneling is often textured with grooves, any flaws in the underlying surface will likely be visible after application. To prepare the paneling, you must ensure the surface is free of cracks, holes, and protrusions by filling any indentations and sanding rough spots to create a smooth surface. An alternative is to remove the paneling and apply the wallpaper directly to the underlying drywall or plaster, provided it is in good condition.

Peel-and-stick wallpaper is designed to be removed without damaging walls, making it a good choice for renters or temporary design changes. However, damage to paint or drywall can occur under certain conditions. To prevent issues, the wall surface must be properly prepared before application—it should be clean, smooth, dry, and correctly primed or painted. Applying wallpaper to a freshly painted surface can cause the paint to peel off during removal. Additionally, removing the wallpaper too quickly or aggressively can also cause damage. For best results, always follow the manufacturer's instructions for both application and removal.

You may end up with extra wallpaper once your project is finished. Hang on to that wallpaper, as you may need to use it to patch up areas that get damaged later on. If you have a lot of excess wallpaper, try getting creative with it. You can use it to line the inside of a cabinet or drawers, for example.

Both paint and wallpaper can work in a bathroom, provided you choose high-quality products in either category. Washable vinyl wallpapers can stand up to bathroom humidity without peeling, as can semi-gloss or gloss paint finishes. However, if you’re someone who likes to redecorate often, paint may make it easier to change colors or designs more quickly. If you want full humidity protection and cleanability, tile or stone works better.