Learn Hardcore Japanese: watasi ha eki no tikaku nara sumeru to omoimasu.

Both are natural. The second one is usually preferred in real conversation if it’s obvious we’re talking about “me”.
は here doesn’t emphasize who can live there (that would usually be が in the right context); it just sets “me” as the background topic.

What does 駅の近く literally mean, and why is の used?

駅の近く literally means “the area near the station” / “the vicinity of the station.”

駅 = station
近く = nearby area / vicinity (here it’s a noun, not the adverb “near”)
の = “of”, showing a possessive or descriptive relationship

So 駅の近く is “the near area of the station,” i.e. “near the station.”
Because 近く is being used as a noun, you need の to link it to 駅.

What does なら do in 駅の近くなら? Is it a conditional “if”?

なら often has both:

A conditional feel: “if it’s ~”
A contrast / limitation feel: “at least when it comes to ~ / as for ~”

In 駅の近くなら住める, the nuance is:

“If it’s near the station, I can (manage to) live there.”
Implicit contrast: maybe other places (e.g., far from the station) would be difficult.

So なら is not just a neutral “if”; it also suggests a kind of condition or limitation, like “as long as it’s near the station (then it’s okay).”

How is なら different from using に, like in 駅の近くに住める?

Compare:

駅の近くに住めると思います。
→ “I think I can live near the station.”
This is a more neutral statement about location; no strong contrast implied.
駅の近くなら住めると思います。
→ “(At least) if it’s near the station, I think I can live there.”
This sounds more like:
- There’s some condition (near the station) under which living there is okay.
- Other conditions/places may not be okay.

So に simply marks location (“live in/at”), while なら sets up a condition or contrast (“if it’s near the station / as for near the station”).

What form is 住める? Why not just 住む?

住める is the potential form of 住む:

住む = to live (reside)
住める = can live / be able to live

For godan verbs like 住む, the potential form is made by changing the final -u to -e + る:

読む → 読める (can read)
行く → 行ける (can go)
住む → 住める (can live)

In this sentence, the idea is “I think I can live (there)” or “I think living (there) would be possible,” so the potential form 住める is correct, not 住む.

Could you also say 住むことができる instead of 住める? Is there a difference?

Yes, you can say it:

駅の近くなら住むことができると思います。

This is grammatically fine. The differences:

住める
- Short, natural, common in conversation.
- Slightly more casual and direct.
住むことができる
- More formal or explanatory-sounding.
- Often used in writing, explanations, or when you want to emphasize the ability more explicitly.

In everyday speech, 住める is more natural here.

What is the role of と in 住めると思います?

と here is the quotative particle. It marks what is being “thought”:

[駅の近くなら住める] と思います。
→ “I think (that) [if it’s near the station, I can live there].”

So と is like “that” in English in “I think that …”.
The entire clause 駅の近くなら住める is being treated as the content of the thought.

Why is 思います used instead of just stating 住めます?

Using 思います adds two things:

It explicitly marks this as the speaker’s opinion/judgment:
- 駅の近くなら住めます。 = “If it’s near the station, I can live there.” (a direct claim)
- 駅の近くなら住めると思います。 = “I think that if it’s near the station, I can live there.” (my view / estimation)
It softens the statement, which is polite in Japanese.
Saying と思います makes your opinion sound less pushy or absolute, and more like a modest suggestion or personal view.

So it’s very common in polite conversation to say 〜と思います rather than making blunt statements.

Is the subject of 住める always 私 here? Could it mean someone else?

In this sentence, context would usually make 私 the understood subject:

私は駅の近くなら住めると思います。
→ Naturally heard as “I think I can live near the station.”

However, Japanese often omits subjects, so in a different context, it could refer to someone else if that’s already clear, for example:

(Talking about your parents)
両親は都会が苦手ですが、駅の近くなら住めると思います。
→ “…but I think (they) could live there if it’s near the station.”

So grammatically, the subject is not fixed; it’s guessed from context. In isolation, we normally interpret it as “I” because of 私 and 思います.

Can the word order be changed, like 駅の近くなら私は住めると思います?

Yes, Japanese word order is relatively flexible. All of these are grammatical:

私は駅の近くなら住めると思います。
駅の近くなら私は住めると思います。
駅の近くなら住めると私は思います。

The meaning doesn’t change much; you just slightly shift the emphasis:

Putting 私は earlier keeps “as for me” as the broad topic.
Putting 私は just before 住める can sound a bit more like “I, at least, can live [there].”
住めると私は思います can feel a bit more like you’re emphasizing that this is my opinion.

But overall, in everyday speech, the original order is the most typical.

What exactly is 近く here: an adjective, an adverb, or a noun?

In 駅の近く, 近く is a noun meaning “the vicinity,” “the nearby area.”

As a noun:
- 駅の近く = the area near the station
- 家の近く = around my house
As an adverb:
- 近くに行く = to go nearby
  (here it’s used adverbially with に)

There is also an adjectival form: 近い (“near, close”). For example:

駅に近い所 = a place that is near the station

In your sentence, 駅の近く uses the noun form and then attaches なら to that noun phrase.

What is the nuance difference between 駅の近くなら and 駅に近いところなら?

Both can be used in a very similar way, but there’s a slight nuance difference:

駅の近くなら住めると思います。
→ “If it’s near the station, I think I can live there.”
- 駅の近く feels like a general “vicinity/area” near the station.
駅に近いところなら住めると思います。
→ “If it’s a place that is near the station, I think I can live there.”
- 駅に近いところ explicitly says “a place that is near the station,” a bit more descriptive.

In most contexts, either is fine and the difference is subtle.

Why is は used with 私, and not が (i.e., why not 私が駅の近くなら住めると思います)?

Using は with 私 makes 私 the topic (“as for me…”). Using が there would put more focus on who can live there, often in contrast with others.

私は駅の近くなら住めると思います。
→ Neutral: “As for me, if it’s near the station, I think I can live there.”
私が駅の近くなら住めると思います。
→ Feels more like: “I (as opposed to someone else) think I can live there if it’s near the station.”
It emphasizes that I am the one who can.

That が version can be correct in some specific contrastive contexts, but the default, natural way to say this sentence is with 私は.