Keep original 1955 SFH wood paneling wall or update to drywall?

[Jermenta Gardner]

Hello everyone, I'm a new a real estate investor and I've came across a great deal in my hometown. The 2/1 SFH was built in 1955 and is 1,000 sq ft. My question is: before making an offer, what are some things you would check out first with a home having this criteria? The house has the original pine wood paneling walls throughout, so would you touch that or update to drywall? I'm wanting to make it a Section 8 rental. With the estimated rehab cost, I'm looking a 15% CoC return. Thanks in advance!