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Pros and Cons of Basement Wall Insulation

You can reduce your energy bills by making sure that your house is properly insulated. The basement is often one of the rooms that allows heat to escape due to poor insulation, but there are advantages and disadvantages to having exterior basement walls insulated. What should you do?

The U.S. Department of Energy recommends exterior basement wall insulation as an effective way of saving energy, although there are advantages and disadvantages involved in this type of insulation.

Advantages of Exterior Basement Wall Insulation:

Heat loss through your foundations will be minimized.
Your foundation will be protected from the effects of any freeze-thaw cycle (where the climate is cold enough for this to happen).
The likelihood of condensation on the interior surfaces of the basement will be reduced.
Moisture intrusion will be diminished.
Exterior insulation will not reduce the amount of space available inside the basement (in comparison with interior wall insulation).
Causes no damage to damp-proof coating.

Disadvantages of Exterior Basement Wall Insulation:

Cost. For an existing building, installation is relatively expensive unless you have other reasons to dig around the outside of the house, for example installing a perimeter drainage system.
Insect infestation. The materials used for exterior insulation can be susceptible to this.
Radon gas. If this is contained in the surrounding soil you will need to have a mitigation system installed underneath the basement floor.

Should You Go Ahead With Exterior Basement Wall Insulation?

Given that exterior basement wall insulation can be a difficult job, make sure that you will benefit from significant energy savings before going ahead with it, and consider alternatives like interior wall insulation or ceiling insulation.

In addition, don't forget that the amount of energy you can save also depends on other factors such as your lifestyle, the type of heating system you use, the local climate, and the rising cost of fuel.