Insulation, Radiant and Vapor Barriers - basement insulation

I would like to waterproof and insulate the basement of our new home and was wondering if my strategy would be effective and efficient. My main concern is waterproofing rather than insulating since it will only be an unheated work space. Because I'll be putting up either drywall or paneling, I'd like to side on overkill rather than chancing the possibility of having to make repairs later on. Our walls are poured concrete in sandy, porous soil. I would like to paint the walls with a waterproofing paint, insulate with kraft-faced fiberglass, and nail up either drywall or a cheap 4 X 8 paneling. The basement has already been studded and will allow for R-11 fiberglass. Do I need to use a plastic vapor barrier between the paneling and insulation if I use kraft-faced? Also, the plastic waste line will be behind the paneling, are there any precautions to take with it - besides access to the cleanout? Any other tips will be greatly appreciated. Thank you.

Drylock prohibits moisture from going through the wall into the basement. It also prohibits moisture in the basement from going through the wall. There isn't anything wrong with that until you apply insulation to the basement wall. The drylock acts as a second vapor barrier on the wrong side of insulation. Even if you don't heat the basement, it will be warmer in the basement than the wall. There will still be a tendancy for the 2 different temperatures to equalize. The probablity that you would experience a moisture problem is about equal to that if you didn't use drylock on the wall. However, the drylock will cost you to do but the other will not. Considering you don't have a moisture problem presently, I would recommend that you don't drylock the walls.

The insulation you intend to install, I would recommend you install insulation that will allow you to have a dead air space between the insulation and the wall, at least an inch. The reason for this is the concrete walls have a much higher moisture absorption rate and much slower moisture expulsion rate than fiberglass. The dead air space will act as a buffer between the 2 different materials. The Kraft-faced insulation has a vapor barrier and it's not necessary to have plastic over that. Just make sure you tape any rips or gaps in the Kraft-face vapor barrier.

If you home is brand new, you may want to wait a few months before finishing the basement. Concrete takes several months to cure. Part of this process is the expulsion of moisture in the concrete.