Basement flooring options

[spence]

Curious what people think would be a good option for the floor of our basement. Right now it is carpet which must go. Plan is to remodel both rooms.

The carpet is on an unfinished slab without a crawl space underneath. Our house it cut into a hill, there's a 30" knee wall around the perimeter with a cut out for a full size door.

Water is an issue. Both humidity that comes up through the slab as well as the potential for water to come in at grade or from the dirt cellar (higher grade) under extreme conditions. I've mitigated the most pressing water problems, but there's still always a risk.

Floor to ceiling is only 81" so there's not a lot of headroom either. This could complicate installing a floating sub-floor which I believe would be required to put down wood.

I'm wondering if I don't just RedGuard the whole thing and throw down tile.

Thoughts?

-spence