I have to say that I am just loving Royal Design Studios' collection of wall stencils. Modern, budget friendly and completely customizable - the sky's the limit for color palette and application technique. Particularly notable is their tutorial for creating an Ikat fabric effect on the wall.
Readers of Lauren Liess' Pure Style Home blog will surely recognize the painter's drop cloth panel she hung in one of her son's rooms a couple of years ago. Using the Indian Paisley Wall Stencil, Lauren created a one of a kind fabric.