The only downside to an 8mm mauser is that noone in the USA makes decent ammo for it- its all loaded to 30-30 specs when the cartridge is about equal to a 30-06.

If you are going to keep the rifle as-is and anre't going to rechamber it, I would suggest the following (they have a short mauser action:

Yugo 24/47
Yugo M48

If you want to build a rifle from a mauser 98, these common models have a standard length action:

Kar98
VZ-24- will need new sights, iron sights are regulated for 400 meter
VZ-98/22 - will need new sights, iron sights are regulated for 400 meter
BRNO 98/29
Turk M38

There are a myriad of other makes, but these are the most common.