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No, you don’t always have to remove old wallpaper before applying a new layer. However, you should pull off the existing wallpaper if it’s cracked, peeling, or in poor condition. We’d also recommend against putting wallpaper over textured or dark-colored wallpaper because the old layer may be visible through the new one. In addition, if you try to hang new wallpaper over vinyl-coated wallpaper, the adhesive might not stick properly. 

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.

Painting over wood paneling is an option that can save you money and time. However, if you go this route, the style and texture of the wood you paint over will still be evident. Painting over paneling is an excellent way to modernize an otherwise outdated aesthetic. Instead of removing wood panels, consider painting them a bright color–like white or ivory. This is essentially wainscoting, but without any of the required installation.