Insulation options without a wall cavity

This is an excellent resource. Note that in learning about this stuff that air barrier and vapor barrier are two different concepts.

I'm wary of OP's idea of placing a vapor barrier on the inside of the masonry wall, as that would preclude the wall drying to the inside.

If OP's walls are "sweating," I would definitely find and eliminate the source of the moisture to minimize vapor condensing when it hits the dew point inside of the masonry wall.

I myself am currently building in my walls with a wood frame filled with polyiso board (although above article gives me pause about the air gap behind the stud wall). Given my dry climate, I feel more comfortable with a wall that can dry to either side. I am minimizing air flow and retarding vapor flow.

Most ideal would be insulation board and stucco on the outside of the house, as it would incorporate a huge amount of thermal mass inside the insulation envelope. I've decided not to do that due to cost, aesthetics, visibility, and the fact that I have no experience with stucco. Downside of the interior frame is losing square footage, of course.

Insulation calculators are helpful in determining the point of decreasing returns when deciding how what thickness insulation to use.

Good luck!

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