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Originally Posted by Monstermaster13
Specifically material with demonic/half-demonic characters, or characters that are ghosts...no, not 'dead' characters, but rather ghost or ghost-like characters or characters who can take over other people's bodies.
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[tl;dr]
Possession is only "evil" there's intent to "be evil". Still, what's "good" or "evil" is subjective.
I will now name-drop X/1999 and Super Mario Odyssey as "less sinister" examples of possession and elaborate on Soul Calibur V's take on the matter as concisely as possible, but I'll probably fail at the latter.
Not sure where possession falls, process-wise, but it's probably somewhere between body swap and mind control. We'll need to form a council to discuss this in more detail.
[/tl;dr]
Possession alone doesn't constitute an "evil conversion", if that's what you're asking. However, its frequent use by those with malicious intent often leads to the act itself to be considered "evil" almost immediately. It is very rare to find benevolent entities who indulge in the possession of others, willingly or otherwise. Kakyo Kuzuki from CLAMP's "X" series (AKA "X/1999") and Mario w/ Cappy from "Super Mario Odyssey" are the only examples of "benevolent possession" that come to mind (the former done willingly by both parties; the latter...not so much ;p).
Personally, possession would probably fall under a sub-category between "mind control" and/or "body swap", but properly cataloging all "processes" requires a LOT of time and effort, so it'll be a while before a more concrete answer is available. For the time being, possession on its own is best suited for "Everything Else".
For all its narrative flaws, "Soul Calibur V" does a sufficient job turning the "good v. evil" idea on its head with characters Pyrrha Alexandra and Elysium. Pyrrha has an alternate "Omega" form where she exhibits traits, both physical and mental, to series' iconic villain, Nightmare. However, she only succumbs to Soul Edge's influence when her brother, Patroklos Alexander, fled at the sight of her "malfested" form. Elysium is the personification of Soul Calibur, a weapon of "order" to rival Soul Edge's "chaos". Due to its "divine" appearance, and its ability to counter the more "demonic-looking" Soul Edge, it has often been mislabeled as a weapon of good, both within series' canon and out, though hints of its more sinister nature only appeared as early as its fourth entry (Soul Edge debuted in 1995, while Soul Calibur debuted in 1998; Soul Calibur IV and V debuted in 2008 and 2012, respectively). "Soul Calibur V" takes it one step further, taking on the form of Pyrrha's late mother, Sophitia Alexandra, in order to convince her brother that their cause is just; this leads to Soul Calibur's possession of Patroklos. The story ultimately ends with the two overcoming their possession (Pyrrha, by Patroklos appealling to her; Patroklos, by fighting Elysium within Soul Calibur w/ Pyrrha freeing his physical form).