I think it is, I did some looking around on the main forum and it seems there are several post that some are having this very issue. It seems way too complicated and just not worth it to work around this glitch so I'm pretty much just going to abandon trying to install a basement in this house.
It's too bad though...this little house is PERFECT except for the fact that it's too small to take pictures in. I use the backdrop and love having either a room in each house just for pic taking, (I call it my studio) or at least an area.
Oh well...on to the next task!!