How much does it cost to finish a basement?

[SenselessChiefsFan]

Originally Posted by luv

So, why do I always hear that so much spent in upgrades brings back so much more at resale? Well, with the exception of bathrooms. I think the highest return I've seen on bathrooms is like 80-90%. Would a finished basement not be an upgrade? Especially if he tries to put minimal cost into it? And how much of a return do you think he'd see on putting a $3000 bathroom in the basement?

I always tell my clients and homeowners that I work with that you do upgrades for yourself, not to get a return on your investment.

The one caveat is that if something needs replacing, the cost to upgrade versus replacing with the same quality is typically much less. At those times, it 'may' be beneficial to spend the extra money to upgrade.

Unless you buy a house below market that needs rehabbed, or unless you are in a high demand area with older homes, you will not see a dollar for dollar return on your investment when you upgrade a home or finish the basement.

In the past, just normal appreciation would allow you to recoup your investment. However, I believe appreciation will happen at a much lower rate going forward than it happened in the late nineties through 2005.