1. Introduction: Why Finishing a Basement Is a Smart Investment
If you’re like many Sioux Falls homeowners, you’re sitting on one of the most underused (and valuable) parts of your home—your unfinished basement.
Finishing your basement adds usable square footage, boosts home value, and opens endless possibilities: guest suites, home theaters, gyms, offices, kids’ play zones—you name it.
But before diving in, you’re probably asking:
“What does it really cost to finish a basement in Sioux Falls?”
This guide breaks down average costs, key price factors, common pitfalls, and how to get the best value from your project—without surprises.
2. Average Cost to Finish a Basement in Sioux Falls
In the Sioux Falls market, the cost to finish a basement generally falls into three tiers:
➤ Basic Basement Finish: $50,000 – $75,000
- Total sq/ft typically 1000 or under and finishing 1-2 bedrooms, bathroom and a family/rec room
- Framed and insulated walls, drywall, flooring, basic lighting, doors and trim
- Ideal for adding bedrooms and rec rooms for growing families
➤ Mid-Range Basement Remodel: $75,000 – $100,000
- This basement finish option is our most popular basement finish option
- Includes finishing a new construction basement with 2-3 bedroom(s), bathroom, upgraded flooring, egress window(s), recessed lighting, some plumbing and electrical upgrades
- Usually between 1,000-2,000 sq/ft
- Dry or wet bars
- Great for adding value and function to your home
➤ High-End Basement Renovation: $100,000 – $125,000+
- Includes custom layout, multiple bedrooms, bathroom with high-end finishes and walk in shower, wet bar or kitchenette, home theater, gym, built-ins, premium finishes, soundproofing
- A fully custom second home in your basement great for entertaining, your very own gym, library or oasis one level down
- More commonly constructed in the basement of new construction homes
- 2,000 sq/ft and larger
3. What Affects the Cost of a Basement Remodel?
Several factors can shift your total cost dramatically. Here’s what influences your investment:
➤ Size and Layout
A 1,000 sq ft open-concept basement costs far less than a 1,000 sq ft basement divided into multiple rooms with bathrooms and a bar.
➤ Type of Rooms You’re Adding
Bathrooms, wet bars, and kitchens require plumbing and electrical work, which adds to the total.
➤ Existing Condition
If your basement is truly unfinished (exposed foundation, no insulation), it’ll cost more to bring it up to livable standard than a partially finished space.
➤ Plumbing, HVAC, and Electrical Needs
Adding bathrooms or bedrooms often means upgrading your panel, removing concrete to connect into plumbing, or extending ductwork.
➤ Material Selections
High-end LVP flooring, custom built-ins, or premium tile will raise your total. Using durable, mid-range finishes helps balance beauty and budget.
➤ Access and Egress Windows
Adding legal bedrooms? You’ll need egress windows, which can cost $3,000–$5,000 each installed, including excavation and framing.
4. Basement Remodel Cost Breakdown
Here’s a typical breakdown of where your budget will go in a Sioux Falls basement finish:
| Category | % of Budget | Notes |
| Framing & Insulation | 10–15% | Building walls, insulating per code |
| Drywall & Paint | 10–15% | Materials + labor |
| Flooring | 10–20% | LVP, carpet, tile – varies by room |
| Electrical & Lighting | 10–15% | Outlets, switches, recessed lighting |
| Plumbing | 10–20% (if needed) | For bathrooms, bars, or laundry |
| HVAC Adjustments | 5–10% | Ductwork or mini-split additions |
| Bathroom Build-Out | 10–15% | Full bath costs $10K–$20K on average |
| Trim, Doors, Finish Carpentry | 5–10% | Millwork, baseboards, stairs, etc. |
| Labor & Project Mgmt | 20–30% | Skilled trades + general contracting |
5. Schedule a Project Discovery Call With Us
Want a quote based on your actual basement layout and goals?
Let’s talk!
At Young’s Design and Remodel, we offer a free, no-pressure project discovery call where we:
- Review your space and goals
- Offer ballpark pricing
- Discuss timelines, design options, and next steps
📅 [Schedule your call here]
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6. Common Hidden Costs in Basement Remodeling
Remodeling a basement often reveals things you didn’t know were problems. Here’s what can sneak up on your budget:
⚠ Waterproofing or Foundation Issues
If your basement has ever had moisture problems, you’ll want to address that before finishing. Sump pumps, grading fixes, or sealing might be required.
⚠ Code Requirements
If you’re adding a bedroom or bath, Sioux Falls building code will require:
- Egress windows
- Proper ceiling height
- Dedicated heat source
- Smoke detectors
These are all safety musts—and add to the overall cost.
⚠ Electrical Panel Upgrades
Older homes may not have enough amperage to support a finished basement. A panel upgrade can cost $1,500–$3,000+ depending on the scope.
7. How to Stay on Budget Without Cutting Corners
Here’s how to manage costs smartly:
✅ Prioritize Rooms
If the full basement isn’t in budget right now, finish the most-used areas first: a rec room and a bathroom, for example.
✅ Phase the Project
Do framing and electrical rough-ins now, and finish the space room-by-room over time. We can help plan a phased remodel that keeps long-term goals in mind.
✅ Use Mid-Range, Durable Materials
Skip builder-grade or luxury finishes and aim for materials with a strong price-to-durability ratio—especially for flooring, tile, and paint.
8. Is Finishing a Basement Worth It in Sioux Falls?
Yes—and here’s why.
➤ ROI (Return on Investment)
A finished basement can offer an average ROI of 70–75%, depending on how it’s used (bedrooms, bathrooms, rental potential, etc.).
➤ Cost-Effective Square Footage
Compared to building an addition, basement remodeling is the most affordable way to add livable square footage to your home.
➤ Increased Resale Appeal
Finished basements are a big selling point in Sioux Falls, especially if they include a bathroom or conforming bedroom with egress.
9. Why Sioux Falls Homeowners Choose Young’s Design and Remodel
We’re not just contractors—we’re your partners in creating beautiful, functional, code-compliant basement spaces that fit your life.
What You Get With Young’s:
✅ Honest, up-front pricing
✅ Clear project timelines and communication
✅ Expert design guidance
✅ Quality craftsmanship
✅ Local Sioux Falls expertise
Whether your goal is more space, a cozy hideaway, or a full basement apartment—we’ll help you make it happen.
Ready to Explore Your Basement’s Potential?
Let’s start the conversation.
📞 Schedule your free project discovery call today and get clear answers, creative ideas, and trusted local guidance.