Shouldn't it be Roma habito? Romae is genitive, dative, or nominative. However, "Romae" in "Romae habito" should be used in the ablative. In the ablative, "Romae" would be "Roma". Please correct me if I am wrong.
Here Romae is the locative case, which is used to denote the location where I live.
I thing that in Latin, the pronunciation of 'ae' is 'e' without the sound of the letter 'a' at all. So the correct pronunciation of the word Romae is "rome". I might be wrong tho:)
As I understand it, from Vox Latina, 'ae' is pronounced as 'i' in the English high or as 'ai' in kaiser. So I think she has got the pronunciation correct.
I suggest that a better pronunciation for Romae or Roma. The thing is, that like in Italian, one letter R is always pronounce the same. Let me explain: when we say rat in English, is like we pronounce like a double R, because is the first letter, like "rrat". But for diamond "carats", we pronounce it like with just one R, not double R like in carrot...