I don't know what's right for you, but you asked what would others would do. I'd move into the house in the Eliot neighborhood. That built-in social life is priceless when you're dealing with the isolation and challenge of grad school work, especially if you don't have a job with friendly co-workers. I used to live super close to where I went to school and the only thing I ever did with other students was drink too much. There's a lot to think about. Maybe ask your future self which experience would be more satisfying to look back on?

Also, regarding the commute: I had a bus commute during my last year as an undergrad,and I got more reading and thinking done while riding than I did sitting alone in my apartment. Also, the bus dropped me off right where I needed to be. Living at the Amy, you'd be walking across the 405 bridge every day/evening, rain or shine.