For the students of the first year who are studying in NLSIU, it is compulsory for them to stay in hostels. However, the option of going home on weekends will always be open for them. Just fill up a permission form and you are good to go. Someone I know used to be a student of NLSIU and she and her batchmates used to visit their families this way.
If you live in Bangalore, you can travel from your house to the institute without asking for permission.
After you have completed your first year you will be able to live off-campus. Knowing the busy traffic of Bangalore, it may get difficult to travel to and from the campus.
This is not allowed in NALSAR, though. You will have to spend the entirety of your course in the hostels.