Allow Player to 'Paint'/Change to Material of a Floortile

Hi,
do you know how in the Sims (at least Sims 1) you can change part of the Floor from i.e. Wood to Carpet? Or paint the walls?
I was wondering what the most efficient method to achieve such a thing would be. My game is tile-based - So my current plan is to just have a grid of flat planes and painting over them changes the Material of a Plane. Seems to be the most straightforward solution, but if there is an advantage of somehow utilizing Decals i.e. or there is a way I don’t know I am happy to hear it.

Dynamic Material Instance is what I’d go for versus outright swapping materials.

Setup a master material with parameters. Textures, vectors, constants etc.

Tiles would be BP Actors. In the construction graph create the DMI reference.

To change the material you’d line trace, take the hit result, get the reference to the DMI and adjust params as needed.

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Yeah, sounds like a good solution to me