If you are fortunate enough to have a basement in your home, you have a unique opportunity. By finishing the basement, you can create additional living space at a lower price while improving your home's resale value at the same time.
Investment In Your Home
A finished basement can have a wide variety of uses from additional storage space to a cozy family living center. In the 2004 Remodeling Magazine Cost versus Value Report, it was determined you could finish out your basement for approximately 50 percent of the cost to add on an addition to your home. In the 2005 report, it was found that just over 90 percent of your investment translated into increased resale value. This makes finishing out a basement a win-win situation for the homeowner.
Average Cost
It must be noted that construction cost will vary greatly depending on what part of the country you live in and the current housing market. If the housing market is very good and contractors are busy building new homes, they will be less interested in taking on smaller jobs. The current estimate for finishing a basement start at $27 per square foot. For a 20' x 50' basement, this translates to a cost of $27,000, which by average will increase the value of your home by $24,300. A word of warning, this number can go as high as $50 per square foot. The $27 per square foot is for the very basic items, walls, ceilings and floors. The $50 per foot price can include the more expensive areas such as bathrooms and wet bars.
Specialized Areas
If you want to add a bathroom to your basement project, you can expect this to add approximately $4,500 to the price tag. If the average bath is 6' x 9' (54 sq. ft.) this makes the cost for the bathroom out to be near $83 per square foot. A high ticket item, but a higher ticker item is a wet bar. Estimates for the average wet bar range from $5,000 up to over $10,000. Every upgrade you select for the project will add to the cost per square foot. It is estimated the average homeowner will select items that will add an additional $2 to $5 per square foot. This will raise the average cost to a range of $29 to $32 per square foot. If there are major plumbing or duct work moves to be made, these costs can go higher. You can also save a great deal by doing some of the work yourself.
Tags: average, basement, remodel, cost, square foot, finishing basement, housing market, resale value, your basement, your home, your home
