"Habiter" is accepted (at least now, I don't know when you wrote this) as an answer, one of two alternatives: "Nous pouvons vivre avec mes parents" and "Nous pouvons habiter avec mes parents."
easy to remember that if you want, must, can, and may do something, might as well do it infinitely. (easy to remember if "want, must, can, may" is /are used, the verb after will be in infinitive form). Je pense... :) it`s like dual-verb construction.