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Creating a new tile tub surround is not as difficult as you might think but there are some important points to consider. Instead of hanging tile on the old existing drywall you should replace it with cement backer board of equal thickness. Then all the seams between the pieces of backer board and the existing drywall should be taped with fiberglass mesh tape and coated with thinset adhesive to prevent cracking. Once that’s dry the seams should again be coated with a waterproofing compound to keep moisture out of the walls. When you start setting the tiles remember to work from a level line …don’t just trust that the tub ledge is level. Your wall tiles should also overlap the seam between backer board and drywall slightly so no one sees the transition.