diff --git a/javascript/features/economy/economy.js b/javascript/features/economy/economy.js
index 58e58834c..802dc26d5 100644
--- a/javascript/features/economy/economy.js
+++ b/javascript/features/economy/economy.js
@@ -32,18 +32,29 @@ class Economy extends Feature {
     }
 
     // Calculates the value of a house after it has been in possession of a particular player for
-    // |ownershipSeconds| seconds. Different from normal economics, the value of a house increases
+    // |ownershipDuration| seconds. Different from normal economics, the value of a house increases
     // as the player owns it for a longer amount of time, to discourage players from switching
     // houses very frequently (which will turn out expensive for them).
-    calculateHouseValue(position, parkingLotCount, interiorValue, ownershipSeconds) {
-        // TODO: Implement this calculation.
-        return 25;
+    calculateHouseValue(position, parkingLotCount, interiorValue, ownershipDuration) {
+        return this.economyCalculator_.calculateHouseValue(
+            /* purchasePrice */     this.calculateHousePrice(
+                                        position, parkingLotCount, interiorValue),
+            /* ownershipDuration */ ownershipDuration);
     }
 
     // Calculates the price for the given |feature| for a house at |position|.
     calculateHouseFeaturePrice(position, feature) {
-        // TODO: Enable having different prices for different |feature|s.
-        const featureValue = 2;  // [0, 5]
+        let featureValue = null;
+
+        switch (feature) {
+            case 'health':  // health pickup
+            case 'armour':  // armour pickup
+                featureValue = 2;
+                break;
+
+            default:
+                throw new Error('Unrecognized house feature: ' + feature);
+        }
 
         return this.economyCalculator_.calculateHouseFeaturePrice(
             /* residentialValue */ this.residentialValueMap_.query(position),
diff --git a/javascript/features/economy/economy_calculator.js b/javascript/features/economy/economy_calculator.js
index 2b88d4fac..c3846fc20 100644
--- a/javascript/features/economy/economy_calculator.js
+++ b/javascript/features/economy/economy_calculator.js
@@ -28,7 +28,7 @@ class EconomyCalculator {
     // |interiorValue| must be in range of [0, 9]. The variance factor will be included. This value
     // is being calculated based on the following spreadsheet:
     //
-    //   https://docs.google.com/spreadsheets/d/1rgydvkX5DEX7tXH8pvQggIOTg2RQpvfqzJEH6ZsKbyE/edit
+    //   https://docs.google.com/spreadsheets/d/1R01tp9WF_lHS3JP2DDqsLKhZOM7illJa3DF4gK3t3yY/edit
     //
     calculateHousePrice(residentialValue, parkingLotCount, interiorValue) {
         if (residentialValue < 0 || residentialValue > 5) {
@@ -78,11 +78,37 @@ class EconomyCalculator {
         return fixedPrice * varianceFactor;
     }
 
+    // Calculates the current house value based on the |purchasePrice| and the |ownershipDuration|.
+    // The value will be influenced by the variance factor by up to 5%.
+    //
+    //   https://docs.google.com/spreadsheets/d/1R01tp9WF_lHS3JP2DDqsLKhZOM7illJa3DF4gK3t3yY/edit
+    //
+    calculateHouseValue(purchasePrice, ownershipDuration) {
+        const BaseRefundPercentage = 35;
+        const MaximumRefundPercentage = 70;
+
+        const MaximizeRefundPeriod = 30 /* days */ * 86400;
+
+        // Determine the refund percentage based on the |ownershipDuration|.
+        const refundPercentage =
+            Math.min(MaximumRefundPercentage,
+                     BaseRefundPercentage + ((MaximumRefundPercentage - BaseRefundPercentage) *
+                        (ownershipDuration / MaximizeRefundPeriod)));
+
+        // Calculate the refund based on the |purchasePrice| and the |refundPercentage|.
+        const refund = purchasePrice * (refundPercentage / 100);
+
+        // The variance will either decrease or increase the refund by, at most, 5%.
+        const varianceFactor = 1 + ((-50 + this.varianceValue_) / 1000);
+
+        return refund * varianceFactor;
+    }
+
     // Calculates the price for a feature of value |featureValue|, which must be in range of [0, 5],
     // at a location having |residentialValue|, which must be in range of [0, 5] as well. The
     // variance factor will be included in the feature's price as well.
     //
-    //   https://docs.google.com/spreadsheets/d/1rgydvkX5DEX7tXH8pvQggIOTg2RQpvfqzJEH6ZsKbyE/edit
+    //  https://docs.google.com/spreadsheets/d/1R01tp9WF_lHS3JP2DDqsLKhZOM7illJa3DF4gK3t3yY/edit
     //
     calculateHouseFeaturePrice(residentialValue, featureValue) {
         if (residentialValue < 0 || residentialValue > 5) {
diff --git a/javascript/features/economy/economy_calculator.test.js b/javascript/features/economy/economy_calculator.test.js
index 8dc3b7387..062389f70 100644
--- a/javascript/features/economy/economy_calculator.test.js
+++ b/javascript/features/economy/economy_calculator.test.js
@@ -82,6 +82,33 @@ describe('EconomyCalculator', (it, beforeEach, afterEach) => {
         });
     });
 
+    it('should be able to determine the value for a house appropriately', assert => {
+        // Returns the value for a house based on its purchase price and ownership days,
+        const calculateHousePrice = (purchasePrice, ownershipDays, varianceValue) => {
+            calculator.setVarianceValueForTests(varianceValue);
+            return calculator.calculateHouseValue(purchasePrice, ownershipDays * 86400);
+        };
+
+        const PurchasePrice = 80643816.73;
+        const MaximumRefundValue = 0.7 * PurchasePrice;
+
+        // Change detector tests against the spreadsheet.
+        assert.closeTo(calculateHousePrice(PurchasePrice,   0.5, 50), 28695758.12, 1);
+        assert.closeTo(calculateHousePrice(PurchasePrice,     1, 50), 29166180.38, 1);
+        assert.closeTo(calculateHousePrice(PurchasePrice,     3, 50), 31047869.44, 1);
+        assert.closeTo(calculateHousePrice(PurchasePrice,     7, 50), 34811247.56, 1);
+        assert.closeTo(calculateHousePrice(PurchasePrice,    14, 50), 41397159.25, 1);
+        assert.closeTo(calculateHousePrice(PurchasePrice, 30.25, 50), 56450671.71, 1);
+        assert.closeTo(calculateHousePrice(PurchasePrice, 60.50, 50), 56450671.71, 1);
+        assert.closeTo(calculateHousePrice(PurchasePrice, 90.75, 50), 56450671.71, 1);
+
+        // Verify that the variance is no more than 5% of the total house price.
+        assert.closeTo(calculateHousePrice(PurchasePrice, 100,   0), 0.95 * MaximumRefundValue, 1);
+        assert.closeTo(calculateHousePrice(PurchasePrice, 100,  50), MaximumRefundValue, 1);
+        assert.closeTo(calculateHousePrice(PurchasePrice, 100, 100), 1.05 * MaximumRefundValue, 1);
+
+    });
+
     it('should be able to price features for houses appropriately', assert => {
         // Returns the house price that has been determined for the three input values.
         const calculateFeaturePrice = (residentialValue, featureValue, varianceValue) => {