I've done this abroad in a few places — Costa Rica, Taiwan, Greece. While it is pretty trendy, it's actually somewhat difficult to "live like a local" in places where you don't know a local. That said I think staying in an Airbnb spare room with a local host simplifies things a lot. I suppose they can kinda become your impromptu host family.

Also, you might like the short book Vagabonding by Rolf Potts.