Not sure if all your photos came through, but since you have no natural light, I would suggest a lighter, neutral paint color on your basement walls with off-white wainscoting to enlarge and brighten the space. Add plenty of recessed lighting and your basement rec area will be the favorite room in the house!

Yes, just keep the color scheme light and neutral.

I agree with Dytecture and michigammemom, keep it light and neutral.

Both of these pictures portray a fun place for teens and young adults to hang out!

HI -- Please NO wianscotting ! Why does everyone think you have to have it in the basement ? It just shortens the height of the walls and then people want to do two colors with the white line in the middle, and then it will always looks like your in a basement. If you go for a lighter color and then you can take the wall color onto the ceiling ( no the ceilings don't have to be white) This will make the space look less basement like because you won't see where the walls end and the ceiling begins. You can have an accent wall . Check out Candice Olsen 's web site - she has done some great basements . That toronto example above is one of hers.

Thanks you all. I am going to try to get at least one other picture uploaded. I would interested in furniture ideas as well as specific color suggestions.