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Yes, you can add a bathroom to an unfinished basement, but you’ll want to take proper precautions if doing so. As with any bathroom addition, you’ll need to make sure that it’s approved by local building authorities first. With unfinished basements, you especially need to keep an eye on proper ventilation practices.

A walkout basement is considered to be partially below grade because at least one wall is entirely exposed. In some cases and in specific municipalities, inspectors and appraisers will still count walkout basements as below grade, which means the space can’t serve as living space or be rented out. If you intend on using the area as living space or a separate apartment, you should check with your local building department to make sure it’s legal to do so.

Regular inspections, maintaining proper grading around the foundation, and keeping gutters clear are advisable. Vapor barriers and sealants may need checking for wear after several years.

“Basement waterproofing” sometimes refers to applying a waterproof sealant to basement walls, in which case you would use a waterproof paint, often made of latex. However, there are many methods you can use to waterproof a basement, including exterior drainage systems, interior drainage systems, dehumidifiers, and more. As such, the materials you use can vary depending on the methods you use.