My friend said to me, “Do you live in this house?” Change into Indirect Speech
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Indirect Speech: My friend asked me whether I lived in that house.
Explanation: When the reporting verb is in the past (said) and the direct speech is in the present indefinite tense (simple present tense), then the indirect (reported) speech will change into the past indefinite tense.
Present Indefinite Tense > Past Indefinite Tense.
And if the sentence is interrogative, we use the reporting verbs – asked, enquired, etc.
Note: While answering to “yes or no questions”, we use if or whether.