Water and ceiling issues aside, I found that soundproofing-wise:
Basement studios are great at keeping sound away from neighbors
Basement studios are great at dispersing sound throughout the house above and driving the rest of your family freakin' berserk. Generally this is because most forced air HVAC systems run ducts all through the basement ceiling, where sound is conveniently propagated throughout house.
If you have no family upstairs, go for it. If so, think about how they're gonna deal with getting blasted.