Walking down into an unfinished basement can feel like a personal horror movie – it’s dark, cold, and there might be eerily exposed pipes and concrete walls. Sometimes it takes courage to head down those creaking stairs.

It might be time to think about finishing your basement to turn that scary space into something inviting that you will use every day. There is a lot that goes into a basement remodel, and it isn’t always a cheap project. So, is finishing a basement worth it?

Getting A Permit Before Starting

Before starting any work on a basement renovation, you must find out if you need a building permit. Many states require that you get an approved building permit before starting a major home renovation, like a basement remodel, to make sure it will be up to code.

Building permit applications can be found through your local government.

The Cost of Finishing A Basement

Let’s get down to brass tax, how much does a basement remodel cost? According to HomeAdvisor, you can expect to pay anywhere between $2,800 to $33,985 to finish a basement, which works out to an average of $18,392 or about $25 per square foot.

Every project will vary based not only on the size of the basement, but also the specific needs you must tackle. Here are a few things that will factor into the overall cost:

• Lighting/Electrical
• Drywall
• Plumbing
• HVAC
• Insulation
• Waterproofing
• Flooring
• Stairs

If you also need to remodel a bathroom or want to add a kitchenette for an apartment-style basement, that will increase your cost.

What’s the ROI On A Finished Basement?

A new basement is a pretty big investment, but you will get out a lot of what you put in. After finishing a basement, homeowners can expect to get an average return on investment of 70.0% in their resale value, according to Remodeling Magazine’s Cost vs. Value (2017) report.

Is Finishing Your Basement Worth It?

If your goal is a profitable investment into your home, renovating a basement isn’t exactly the project to pour your money into. While it certainly will give the home a big boost in value, you probably won’t recoup all the money spent on the project.

However, finishing a basement gives you much more than a higher selling price. You will have created a new space that you can use as a guest bedroom, an office, or a big play area for the kids. You will get years of great use out of a space you used to dread going into, so recouping 70% on the investment will just be the cherry on top.

Remodeling a basement is a big undertaking, so think about how you would use the additional space and weigh how much work (and money) it will take to complete before you jump in.