Burying the dead in one’s home or in the vicinity of the mosque
18-11-2007 | IslamWeb
Question:
I would want to know the Islamic Point of view on those who bury their deceased in the compound of the house where they live or in the compound of the mosque. If one's parent who is a Christain dies, can I do the Funeral rites or I call the his Christian members.
Answer:
All perfect praise be to Allaah, The Lord of the Worlds. I testify that there is none worthy of worship except Allaah, and that Muhammad 
is His slave and Messenger.
It is forbidden to build graves and bury the dead in mosques, as this is one of the grave major sins. It is also forbidden to build mosques on graves as the Prophet prohibited it; this is discussed in Fatwa 87303.
According to the view of a great number of scholars 
the prayer in mosques and prayer areas where the grave is inside it is invalid. However, if the grave is outside the mosque, then the prayer in it is valid, even if the mosque is adjacent to it as long as there is a separation between them.
As regards burying the dead inside the house, then this is a controversial issue among the scholars .
The companions 
and the generation which followed them buried their dead in the desert, and the Prophet buried his companions in Al-Baqee' graveyard. Hence, the best example to follow is that of the Prophet .
However, the Prophet was buried in his house because he died in it; Allaah only takes the souls of the Prophets and Messengers where they should be buried as conveyed by the Prophet .
Concerning performing the funeral rites on your Christian father, please refer to Fatwa 81585.