You need to determine a basement’s current condition in order to estimate how much it would cost to renovate. An unfinished or rundown room will require more work and therefore a bigger budget. The quality of selected finishes can also influence the price and high-end materials or custom designs will definitely increase the bill. Lastly, dimensions play an important role: the larger the space, the higher the costs.
Below is a table with the different costs to anticipate for your basement renovation in 2025. These have been collected from thousands of similar project submissions received over the years. These prices are therefore an excellent starting point to help you plan your budget.
*Several factors influence the total cost of renovations: the type of work to be done, labour required, materials used, safety measures, demolition or relocation costs of structural elements and finally, the unforeseen. As for the bathroom, prices vary according to excavation needs and access to plumbing.
The first step in a basement renovation is to think about what you want to do with it. The possibilities are endless and that’s what makes this living space so interesting. Check out the Top 11 basement renovation ideas for some great inspiration. Once you’ve decided on the direction you want to take, it‘s important to determine whether wall construction will be needed. Adding walls can create new rooms to better meet your needs. You should generally budget about $2,500 per wall and it’s recommended to use gypsum sheets, as they’re both durable and soundproof.
Basement elements
Average cost (including materials and labour)
Turnkey (without bathroom)
$50/sq.ft.
Bathroom (turnkey)
$20,000 to $35,000*
Bathroom (labour only)
$15,000 to $18,000*
Walls & Joint Sealing
$5 to $7/sq.ft.
Ceiling
$5 to $7/sq.ft.
Insulation
$3.5 to $5/sq.ft.
Flooring
$7 to $15/sq.ft
What does a turnkey basement include?
A turnkey basement either involves returning it to its original state (removing walls, floors, etc.) and completely redoing it, or finishing and furnishing it with new built-in pieces. This involves building new walls and divisions, insulating walls adjacent to the foundation, adding a gypsum ceiling or false ceiling, laying a floor covering, pulling joints, painting and much more. Some renovations also involve the custom manufacture of built-in furniture. If you choose to install a new bathroom in a basement that didn’t previously have one, you’ll need to budget additional costs for plumbing installation.
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Source photo: Pinterest
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Source photo: Pinterest
Source photo: Pinterest
Adding a bathroom in the basement
If you decide to build a new bathroom in your basement, the contractor will most likely have to break part of the concrete flooring slab to install new plumbing pipes. This step can be long and expensive depending on the design of your house. You need to add an additional cost to your budget, between $3,500 and $5,000.
If you have an existing bathroom and you want to renovate it, the old plumbing could do the trick. Afterwards, it’s the choices you’re going to make that will drive up the costs. Do you dream of having a custom ceramic shower? A freestanding bath? Lacquered wood storage furniture? The possibilities are limitless and will all have an impact on the final tally. Adding a small bathroom in the basement will increase the bill on average from $20,000 to $25,000, while a larger regular bathroom on the ground floor will cost between $20,000 to $40,000.
For gypsum walls, you need to calculate about $2/square foot for materials and installation. As for joint pulling and sanding, anticipate approximately $3/square foot for the entire basement.
Paint
The cost of painting work is calculated according to the area to be covered, number of gallons of paint used and paint quality. It’s generally estimated between $500 and $700 for an entire floor.
Ceiling
There are three main options to put up a ceiling:
Gypsum ceiling: $2.50 to $3.50/square foot
Suspended ceiling: $6/square foot
Architectural ceiling: $8.50+/square foot
At this stage, why not consider soundproofing possibilities before installing a ceiling.
Floor
One of the most important elements in a basement renovation is the floor covering. The materials you choose will help create the ambiance you want. The choice of flooring often depends on how you plan to use the space. Many people tend to go with hardwood, not only for its durability but also for its elegant and sophisticated look. This option is quite expensive (about $12/square foot). Before installing hardwood, you must ensure that there is no water infiltration or humidity problems to avoid swelling of the covering. Otherwise, a floating floor would be more appropriate.
Another suggestion is an epoxy floor. This coating is a good solution for basements as it offers exceptional water resistance, in addition to being easy to clean and maintain. However, applying this resin mixed with a hardener can be tricky and requires the intervention of a professional. The cost of an epoxy floor generally varies between $3 and $12/square foot, depending on a project’s complexity.
Carpet remains popular for its warmth and affordable price. It’s suitable for a playroom or a home theatre. Ceramic could also be an interesting possibility. However, expect the floor to be colder, especially in winter.
Let your personal needs and tastes guide you to the most appropriate option. An estimate of the full costs of your renovation project will allow you to pick the best materials. The average price of these options varies but good planning will help you optimize your living space while staying within your budget.
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Source photo: Pinterest
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Source photo: Pinterest
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Source photo: Pinterest
Source photo: Pinterest
Source photo: Pinterest
Source photo: Pinterest
Insulation
As you know, heat rises. Making sure the basement is adequately insulated is therefore your end game. The cost for insulation is, on average, between $3.50 and $5/square foot, which represents about $2,400 for a bungalow if the basement is already open. The investment is worth it as you’ll likely benefit from significant energy savings.
Summary of the cost of a basement renovation in 2025
The overall cost of renovating or finishing your basement will depend on what you want to use it for and your choices. It’s generally estimated that the amount is between $50,000 and $65,000, or even more. It’s important to note that if you decide to add a bedroom in the basement, it’ll absolutely need a window for safety reasons to serve as an emergency exit. The cost of installing a window can be about $2,400 and more (for drilling a hole in the wall and installing a new window).
Note: If you’re dealing with humidity problems in the basement or water infiltration, it’s important to remedy this before proceeding with any finish. This will avoid harmful consequences related to mould growth, bad smells and other contaminants. Ignoring these problems could result in high costs in the long term.
Need inspiration for your basement renovation project?
Check out our section on Basement projects. You’ll find plenty of ideas as well as the actual cost of each project presented.
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