Wow, thanks guys for all the suggestions.
The house was built in 1920, and there's one spot in two bedrooms that I had to actually rip the plaster and lathe off and I just drywalled those walls. The walls themselves were about 5 feet wide, so I thought it'd be easier to do it that way. There was a roof leak that caused a big mess in these spots.
One big reason why I did that was so I could open the walls up and see the condition of the interior. I was actually surprised since I suspect the roof was leaking for at least a couple of years. There was no rot at all. The house is constructed of 3"x8" hardwood studs and they seem to have held up well.
So far I've only gotten down to the plaster in one room. I've had to rip the paint off the walls, then go back and spray on this chemical to take the wallpaper off (all 5 or so layers). It comes off pretty easy, it's just time consuming.
When we first bought the house we thought the plaster was falling down all over the place (As did everyone else), but come to find out it's just layers of wall paper. So far the plaster looks real good aside from the few spots I've mentioned. It worked out well because we got the house for less than half it's worth once restored and it's costing alot less to restore than I thought it would. Alot more work this way than just drywalling, but we're saving the expense of sheetrock.
Amazingly enough we've found lead on only one window in the entire house. Apparently they just wall papered up into the 80's when the former owner inherited the house (then let it fall apart).
It's not insulated though, that's for sure. I'm planning on getting some blown in, unless someone has a better idea.
I'll try out your suggestions, if they work, great and if not I can always replace those spots.
Thanks again guys!
Rev