Suu Kyi, back in detention since the military overthrew her government in 2021, has been embroiled in a decades-long legal dispute with her brother over ownership of the lakeside villa.
A person with knowledge of the proceedings said the court-ordered auction will be held at the house on March 20.
"If there is a buyer, the house will be sold. We will have to see whether there will be a buyer or not," added the source, who declined to be named as they were not authorised to speak to the media. Court officials were not available for comment.
The Nobel laureate was detained at the decrepit, colonial-style residence on Yangon's Inya Lake until 2012, when she moved to the capital Naypyitaw to attend parliament after her release.
She gave impassioned speeches to crowds of supporters over the metal gates of the house and it has been the site of some of her most high-profile meetings, including with former U.S. president Barack Obama and secretary of state Hillary Clinton.
The 78-year-old's estranged brother, Aung San Oo first sued in 2000 for a share of the property, which is registered under the name of their mother, Khin Kyi.
The court ruled the siblings must share the proceeds from any sale of the house. Aung San Oo, was not immediately available for the comment.
Suu Kyi remains in detention, though her whereabouts are unknown. She faces 27 years in prison convictions for crimes ranging from treason and bribery to violations of the telecommunications law, allegations she denies.
World leaders and pro-democracy activists have repeatedly called for her release.
