Eight years after our house was built, we noticed that the MDF baseboards in our finished basement became discoloured and swollen from potential moisture. We removed the dry wall, the vapour barrier and the fibreglass insulation in two large areas along the same back wall. The concrete appeared to be saturated with water. We inspected the foundation outside. The foundation seems to be sealed, although we had to dig down six inches or so, below the level of some garden beds and lawn that surrounds the house.
There doesn't appear to be any obvious cracks in the foundation, and some people have suggested it may be a problem with condensation. We have been running two demudifers in the room for some time and have not noticed any more moisture. The concrete is still exposed. No water has been noted to be leaking from two window wells along the wall or up through the floor. Since we noticed this issue along the back wall, some signs of moisture have been noted (along the baseboards) on the wall that is perpendicular to it. Some insulation companies have usggested we should remove the fibreglass insulation and replace it with spray foam insulation and then apply the vapour barrier and dry wall. We are unsure as to how to proceed. Please advise.