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Hello, I have some questions. I am starting the plan to finish the basement but I am not sure if I should add extra frame, insulation and drywall or put directly the dry wall in the existing frame. This is the external wall, right now it's having some frame, insulation and vapor barrier, but the pipe for the AC are outside the wall so I am not sure if it's better to try to remove the existing insulation, put the pipe close to the wall (inside the frame) and put new insulation, or add and extra frame and more insulation to cover pipe. I am a newbie, please feel free for any suggestion. I am including a few pictures. Thanks






 

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Is that fiberglass in direct contact with the foundation wall?
If so that's not going to work.
 
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