How Much Does It Cost to Finish a Basement? [2024 Data]

What Is a Finished Basement?

A finished basement must have a heat and electrical supply with an entrance that meets building code requirements, such as a stairwell to the home's main living space. It often must include finished walls, ceilings, and floors. If the finished basement includes a bedroom, it should have a heat source, an egress window, and a closet.

Remodeling, as opposed to finishing, means altering an already finished basement by adding a bathroom, bedroom, or living area.

Costs by Type of Finish

Your final basement finishing cost relies on your starting point. In some cases, you might not even have an unfinished basement to work with, so you’ll have to factor in the cost to build one. On the other hand, you might already have a built or semi-built space that just needs remodeling.

Cost to Build an Unfinished Basement

Building an unfinished basement can cost $4,000 to $37,500. A full basement build, foundation included, might run about $30 to $100 per square foot.

Cost to Build a Half-Finished Basement

A half-finished basement costs $7 to $23 per square foot, but the total project cost will be lower compared to a fully finished basement since the amount of space being renovated is smaller. This may involve creating one small movie den or laundry room in the basement rather than finishing the entire basement.

Cost to Remodel a Basement 

Remodeling a finished basement costs an average of $20,000, with most projects ranging from $4,200 to $45,000. Your final price depends on how many rooms you’re finishing and what you’ll add to the space. Adding a laundry room or kitchenette will drive up your costs.

Basement Finishing Cost Breakdown

The cost to finish a basement depends on a number of factors. Larger basements will add more square footage to your home, but that also means more money spent on materials and labor to cover the bigger space.

Size of Basement

Basement finishing costs about $7 to $23 per square foot, so the larger the space, the more you’ll spend to turn it into a cozy den or welcoming guest suite. A smaller, 500-square-foot basement will cost about $3,500 to $11,500 total, while a large, 1,500-square-foot basement will cost $10,500 to $34,500 to finish.

Labor

Professional labor makes up 10% to 25% (usually around 20%) of the project’s total cost, but general contractors will typically include their fees in the project quote rather than charging hourly. 

Materials

Materials cost about $5.25 to $21 per square foot for a finished basement. Although you can save money by opting for builder-grade materials, you may want to invest in higher-quality options as much as possible. 

Building Permits and Code Requirements

Acquiring the necessary building permits to finish your basement will cost about $1,200 to $2,000 of your total cost. Some municipalities will charge permit fees of 1% to 2% of your basement remodel project cost. A contractor will usually include this in your service package, but if you’re handling the building yourself, be sure to factor it into your budget.

Cost to Finish Basement by Project

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Electrical

You’ll undoubtedly need some power for your pinball machine, computer, and other electronics in your newly finished basement. At the very least, you’ll need good lighting to make the space more inviting. Together, this usually makes up around $5,300 of your finished basement cost.

Here’s what the breakdown of these expenses looks like:

Plumbing

Hiring a plumber costs about $45 to $200 per hour. Whether you plan to add a bathroom or kitchen or just need someone to inspect the existing plumbing, this is an important cost to keep in mind if you want to turn your basement into a livable space and avoid any costly water damage down the line.

Framing

On its own, framing your basement will run an average of $1,800, or about $7 to $16 per linear foot. This number doesn’t factor in the cost to drywall the basement or add insulation.

Insulation

Your best picks for basement insulation are foam products, as these provide a barrier that stops mold from infiltrating your pad. Insulation costs around $2,000 to cover a 1,000-square-foot basement. Rigid foam board for the same-size space will cost about $700 to $840 for two-inch thick sheets. While foam board costs less, it is only suitable for installation before framing or on flat concrete or block walls.

Drywall and Ceiling

The cost to drywall your basement averages $1,750, or about $2 per square foot. If you’re installing it yourself, drywall panels cost $12 to $20 each. Building and drywalling the ceiling will cost about $1,610. For an industrial look, spray painting exposed ductwork costs about $400, while installing a drop ceiling runs $2 to $6 per square foot.

Tongue and groove wood paneling is easy to install and costs $1 to $3 per square foot. Increasing basement headroom is expensive and requires raising your home’s foundation.

Sump Pump Install

A sump pump will cost around $575 to install. This system is crucial for, you guessed it, pumping out large volumes of water that might accumulate from rain, a bad plumbing day, or any other event that could lead to flooding.

Waterproofing

To avoid soggy stuffed animals and wet carpet, waterproofing your basement will cost an additional $4,400 on average or about $5 to $10 per square foot. Your final basement waterproofing cost depends on the method you use and the extent of work required. For the best results, find a basement waterproofing contractor near you.

Flooring

Flooring will usually make up about $1,500 to $4,500 of your basement cost, with about 500 square feet of flooring totaling $3,000. Hardwood floors can cost up to $22 per square foot, whereas carpet and laminate might only be around $3 to $11 per square foot.

Paint

A fresh paint job for your new drywall will cost around $1,800. If you’re the one holding the roller, paint usually costs about $15 to $40 per gallon, with most colors costing about $30 per gallon.

Windows

Because they are mostly underground, basements typically have egress windows. Egress windows cost about $200 to $950 per window for the materials and professional installation, but you’ll pay more for permits and for land prep if you need to excavate around the house to make space for these windows.

While this may seem like a steep addition to your project cost, natural light can increase the value of your finished basement and make it a more pleasant place to hang out.

Door Installation

Installing an exterior basement entrance costs $2,500 to $10,000. If you just plan to add doors between basement bedrooms or bathrooms, interior doors cost about $360 to $1,160 per door. If you are turning your basement into a guest suite, you may want to add an exterior entrance to allow guests to access their suite without coming in and out of your home.

Additional Costs to Consider

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Aside from the up front investment of finishing your basement, you’ll need to consider possible ongoing costs. These include:

• Repairs: Basement and foundation repairs cost $2,160 to $7,735. If you live in an area prone to flooding or have a plumbing leak, you’ll pay about $450 to over $13,000 for the cost of water damage restoration.

• Mold or Asbestos Removal: Basements may be old, damp, and riddled with mold and asbestos that need remediation before you can begin framing and insulating the space. Mold remediation costs $2,225 on average, and removing asbestos costs about $1,170 to $3,050. 

How Much Does It Cost to Finish a Basement Yourself?

DIY-ing your basement can save money on your final basement cost, but it’s quite the task to take on by yourself. Finishing a basement requires the right tools, skills, and permits.

Even if you’re a seasoned DIY-er, you should hand off complex tasks to a pro. If you’re installing a sink or a wet bar, for example, then you’ll need to find a local plumber. Plus, you should hire a nearby electrician to handle any electrical work.

The following DIY cost estimates are based on a 1,000-square-foot basement and don't include labor fees.

DIY vs. Hiring a Contractor

A local basement finishing contractor usually handles the hiring and coordination of any electrical or plumbing work you need. They charge around 20% of your total basement finishing cost for their services. If you’re up for it, you can find your own plumber and/or electrician and supervise the job yourself to save a little cash. You’ll need to do a cost-benefit analysis though, as this could be more of a headache than it’s worth.

How Much Does It Cost to Furnish a Basement?

Furnishing your basement with all-new pieces usually costs at least $2,100, but can get much higher if you’ve got big plans for the space. 

Here are a few additions to consider with your total basement finishing cost:

How to Save Money on Basement Finishing Costs

Finishing your basement represents a significant time and money investment. The size and scope of your project will pretty much dictate the time it will take to complete the job. However, there are some things you can do to reduce the amount of money involved. 

• Leave the technical stuff to the pros. But you can do some DIY tasks, such as demolition if hazardous materials aren't present. 

• You can also perform some finishing and trim work yourself if you're handy with the necessary tools.

• Choosing a budget early in the planning stages and sticking to it throughout the project can eliminate impulse purchases that can add up quickly.

• Balance inexpensive materials with items that you want to showcase. For instance, install a less expensive shower surround that few will notice in exchange for elegant lighting fixtures. 

• In the design stage, opt to place bathrooms or other water-dependent rooms within easy reach of your home's existing plumbing.