diff --git a/MatrixSDK/Data/MXRoomSummaryUpdater.m b/MatrixSDK/Data/MXRoomSummaryUpdater.m
index 9bac65097..9e455fb19 100644
--- a/MatrixSDK/Data/MXRoomSummaryUpdater.m
+++ b/MatrixSDK/Data/MXRoomSummaryUpdater.m
@@ -516,8 +516,7 @@ - (BOOL)updateSummaryDisplayname:(MXRoomSummary *)summary session:(MXSession *)s
             }
         }
 
-        if (memberCount > 1
-            && (!displayName || [displayName isEqualToString:_roomNameStringLocalizer.emptyRoom]))
+        if (!displayName || [displayName isEqualToString:_roomNameStringLocalizer.emptyRoom])
         {
             // Data are missing to compute the display name
             MXLogDebug(@"[MXRoomSummaryUpdater] updateSummaryDisplayname: Warning: Computed an unexpected \"Empty Room\" name. memberCount: %@", @(memberCount));
@@ -565,10 +564,23 @@ - (NSString*)fixUnexpectedEmptyRoomDisplayname:(NSUInteger)memberCount session:(
     switch (memberNames.count)
     {
         case 0:
-            MXLogDebug(@"[MXRoomSummaryUpdater] fixUnexpectedEmptyRoomDisplayname: No luck");
+        {
             displayname = _roomNameStringLocalizer.emptyRoom;
+            NSString *directUserId = [session roomWithRoomId: roomState.roomId].directUserId;
+            if (directUserId != nil && [MXTools isEmailAddress:directUserId])
+            {
+                displayname = directUserId;
+            }
+            else if (roomState.thirdPartyInvites.firstObject.displayname != nil)
+            {
+                displayname = roomState.thirdPartyInvites.firstObject.displayname;
+            }
+            else
+            {
+                MXLogDebug(@"[MXRoomSummaryUpdater] fixUnexpectedEmptyRoomDisplayname: No luck");
+            }
             break;
-
+        }
         case 1:
             if (memberCount == 2)
             {
diff --git a/MatrixSDK/MXSession.m b/MatrixSDK/MXSession.m
index 9aa58b49d..11d3370e3 100644
--- a/MatrixSDK/MXSession.m
+++ b/MatrixSDK/MXSession.m
@@ -2509,8 +2509,12 @@ - (MXHTTPOperation*)createRoomWithParameters:(MXRoomCreationParameters*)paramete
         {
             // When the flag isDirect is turned on, only one user id is expected in the inviteArray.
             // The room is considered as direct only for the first mentioned user in case of several user ids.
-            // Note: It is not possible FTM to mark as direct a room with an invited third party.
             NSString *directUserId = (parameters.inviteArray.count ? parameters.inviteArray.firstObject : nil);
+            // Fall back on the first invite3PID address.
+            if (!directUserId && parameters.invite3PIDArray != nil && parameters.invite3PIDArray.count > 0)
+            {
+                directUserId = parameters.invite3PIDArray.firstObject.address;
+            }
             [self onCreatedDirectChat:response withUserId:directUserId success:success];
         }
         else
diff --git a/changelog.d/pr-1727.change b/changelog.d/pr-1727.change
new file mode 100644
index 000000000..bf92eea31
--- /dev/null
+++ b/changelog.d/pr-1727.change
@@ -0,0 +1 @@
+Creating a direct room with a third party will now use their email as the m.direct ID and their obfuscated email as the room title.