My daughter is transferring from community college to university and she had the option of dorms or an apartment. She and her roomie chose an off-campus apartment that's managed by a company that specializes in student housing. She and her roomie are rather introverted and were not the least bit interested in all the noise and hoopla that can go with dorm living, so the apartment was a good choice. They got a 2 br, 2 ba, fully furnished, all utilities included (even internet), pet friendly apartment for significantly less than a comparable on-campus unit.
I think the housing choice depends on what kind of college experience your dd wants. Mine was fine to be removed from campus, but others who may want close proximity to the social activities, etc, may prefer to stay on campus.