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It is correct to say "my father's house" with an apostrophe to show possession.
The house of your father-in-law is your father-in-law'shouse.
Father's House was created in 1986.
your father-in-law's house
The English language does not have a special term for the house in which a wife's father lives. You would call is, simply, my father-in-law's house.