Maybe you could paint the wall and built-in on the opposite side of the fireplace, as well as the french doors, and leave the rest alone? These are all a little more rustic than what you have but support the general idea. You might also consider a new mantle.

You're in good company when it comes to feeling that wood paneling shouldn't be painted over because it's expensive, or too nice. Rest assured, there are no Paneling Police!

I say go ahead and paint. A wash could be good, as the previous commenter said. It depends on the look you're going for. From the inspiration photo, I'd say paint would look great. It will also add more contrast since the floor is also pine.

Go for it! Post an "after" photo so we can see the finished project. Good luck!

thanks for all the comments! I wish I had an alternate view of the room to show. The other side of the room is mostly windows with a large bay window opposite the fireplace. There are also a couple of rose colored stained glass windows that match the glasswork on the cabinetry next to the fireplace. I'm not into the rustic look much. So I think I am leaning towards painting the woodwork the cream trim color in the inspiration photo. I like the idea of changing up the mantel. Thanks again for all the great advice! This was first time posting a discussion and I'm super pleased with the responses!

Your inspiration photo seems to suggest you'd like to paint it. I say go with your gut!

I'm having the same dilemma! We have lots so beautiful (I think) tongue and groove wood paneling in the living room and we like it but, we have the house for sale and everyone says the house is too dark :( I'm getting very motivated to sell and I'm ready to paint it for more of a beach cottage feel. Ne also have a lot of stone around the fire place and on another wall and I'd like to paint that too.

Where do you live? If the beach is a lake shore in Michigan, you'll want to paint it a warm color, such as a warm white. If it's on the ocean, paint it a cooler white, a "white white". The white will reflect the daylight. You also may need some additional lighting. Without photos it's hard to give you solid advice.

Try adding some lighting and white curtains and opening the curtains and leaving the lights on when you show the house before painting real wood paneling. Take a looks at real estate photos--the lights are usually all on. A lot of people like wood if it is the real thing. The fake stuff should be painted.