Can you give me some suggestions on what to do with old wallpaper?
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You can have a sheet rocker put a skim coat over the wallpaper. Or you can add another layer of thin sheet rock. Or you can try some ship lap!
Since it won't come off. Painting is the easiest solution. Make sure it's clean and dry. Prime with a good stain blocking primer like Kilz then paint your color.
Oh, boy I had a similar problem! I left the wallpaper on and painted over it with good results. I tried to hide the seams as much as possible using spackle. The seams had separated in spots and in other spots overlapped. It was awful, but peeling off the little strips that overlapped helped too.
Good luck!