diff --git a/autoload/fzf/vim.vim b/autoload/fzf/vim.vim
index a80e949..47413b6 100755
--- a/autoload/fzf/vim.vim
+++ b/autoload/fzf/vim.vim
@@ -637,14 +637,17 @@ endfunction
 " fzf#run restores the working directory while fzf runs and only re-applies
 " 'dir' for the sink, so a relative entry has to be resolved here
 function! s:in_dir(dir, path) abort
-  " filereadable does not expand a leading tilde, which :History reports
-  if a:path =~# '^\~'
-    return fnamemodify(a:path, ':p')
-  endif
   if empty(a:dir) || a:path =~# '^/' || a:path =~# '^\a:[\\/]'
     return a:path
   endif
-  return fnamemodify(expand(escape(a:dir, '[]*?{}')), ':p').a:path
+  let path = fnamemodify(expand(escape(a:dir, '[]*?{}')), ':p').a:path
+  " :History reports a path under the home directory as '~/...', which
+  " filereadable does not expand. Other commands can emit a relative path
+  " under a directory named '~', so prefer that reading when it exists
+  if a:path =~# '^\~' && !filereadable(path)
+    return fnamemodify(a:path, ':p')
+  endif
+  return path
 endfunction
 
 " Shows the entry without closing fzf. The callback can fire while the fzf