Hello,
I would agree that generally, I think it's best for students to live near their uni as it gives them an opportunity to experience living independently and craft an identity of your own. It also gives you an opportunity to better take advantage of the university's services and social aspects. You sound like you've had a rough time, and I would really recommend moving closer to your uni, particularly in halls, for next year if possible.
You've mentioned saving money, but if you've got a loan I would say it's worth the money, even for your own mental health's sake. Some people can definitely manage commuting, but it may just not be a good option for you if you're sociable and want to take part in the uni's community more. You're also probably losing a lot of time on the commute itself that could be allocated to all kinds of other things. Are there any other reasons for why you haven't moved close to the university? I understand that everyone has their own needs, so I can see if that isn't an option for you.
Charles,
University of Southampton Student Representative