Can you help? I don't know whether to use which or that.

For example

The house which is on the corner


The house that is on the corner

Both sound fine to me. Am I right, or is one wrong. If so what is the guiding rule?

Advice would really be appreciated.

Could you finish off the sentence so that we could say whether they are right or wrong?
Mmmn? I hadn't thought that far. How about this?

The house, which is on the corner, is for sale.


The house, that is on the corner, is for sale.

Thanks for your reply Maj.

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I think the first sentence is correct. I probably wouldn't use the commas in the second one.
You're right Maj, the second sentence does not take commas:

The house that is on the corner is for sale.

In this case "that is on the corner" is restricting the house to that particular one and no other house. In this case "that" should be used instead of "which". In the first sentence:

The house, which is on the corner, is for sale.

You can leave out the phrase "which is on the corner" and the listener will understand which house you are talking about. "Which" is used in non-restricting clauses 8it's just extra information) and is preferred over "that".
Nice explanation, Raul!
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Hi Maj and Raul

Thanks for your help.

Now I understand why my word software keeps underlining my use of which and that. So I won't need use to use mean and threatening language towards it again.