I fell in love with the guy who lived opposite me in halls last year. We thought living so close would pose problems, but it was amazing - we were practically cohabiting, and we get on so well that living together is not a problem. We are still together and this year are living slightly further apart so we can have our own space, but we still sleep together pretty much every night.
BUT we decided right from the beginning that the reason we are both at Uni is to learn, so work always takes priority, and we're both fine with that. You just have to establish your priorities, and there's no reason you shouldn't go out!