In this paper the effects of moisture on the heat transfer from two basic types of building foundations, a slab-on-grade and a basement, are examined. A two-dimensional finite element heat and moisture transfer program is used to show the effects of precipitation, soil type, foundation insulation, water table depth, and freezing on the heat transfer from the building foundation. Comparisons are made with a simple heat conduction model to illustrate the dependency of the soil thermal conductivity on moisture content.