Costs of Basement Waterproofing and Insulation

Annual Energy Savings & basement insulation

The annual savings brought by basement wall insulation vary a lot. Several factors may explain that: climate (the colder the climate the higher the benefits and also the costs of insulation), homeowners energy consumes, type and efficiency of their heating system, cost of energy (solar, fuel…)…

Anyway, according to DOE, typical average savings for a 1,500 square foot (140 m2) home with a conditioned basement heated by natural gas range between $250 and $450 for cities as Buffalo, Denver, Minneapolis, Seattle, St Louis and Washington. That's an important reference we should take into count.


The cost of full-basement insulation

The cost of full-basement foundation insulation varies a lot, but according to reports of American governmental agencies (Building Energy Codes Program), they may range the $800 - $1,200, which means that the investment could be recovered in 4-5 years or less.

This is, obviously, just a view. Other reports aren’t so favorable, and full-basement insulation is usually presented a rather controversial investment with a too large payback. In fact there are basements insulations with much higher costs than those quoted below. Prices of $3,000 - $5000 aren’t uncommon, namely in complex exterior basement insulation with installing of drainage systems - which will extend the payback period and make the investment much less interesting.


What varies

The final costs depend largely on the type of insulation, and that should also be pondered. Full-basement insulation (namely the exterior insulation) is costly, but there are other measures and works that can be done, some of them with excellent results:

- partial insulation of the exterior basement walls (suitable on moderate-rainy and dry climates, or when the ground isn't saturated with profound water)
- surface drainage measures
- measures involving dehumidifiers, building air leaks, ducts leaks, domestic appliances, ventilation, size and efficiency of the heating and cooling systems: see Solving the problem of cold-wet basements 


Beyond cost-benefits economic analysis

Anyway, comfort and healthier indoor conditions counts much more than the eventual high cost of insulation, waterproofing and drainage of the basement. Basements can provide valuable living space, and are suited to a large variety of needs and ends. So, the option of insulating a basement should depend also a lot of these last features. If you want a comfortable and healthy living space, insulation is surely cost-effective.

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