Do students HAVE to live on a university campus their first year?

The Associate's Degree covers the first two years; you'll be a "transfer student", entering as a junior who is new to the school, but not a freshman. (And congratulations on that accomplishment!)

As you are well aware, the community/junior college is meant to serve people, in part, by providing a more convenient, affordable way to pay for college, since you are getting the first two years of college at quite reduced prices. This typically gets you over the set of university-wide requirements for a Bachelor's Degree; the school you choose for pursuing your last two years may have a few other courses, but you should be able to concentrate on your major(s).

As for housing, the freshman requirement is meant, in part, to help you acclimate to college *together*, with your classmates (similar to how Kindergarten used to help acclimate young children to school, with their own classmates). New students get to go through the transition to college, together.

The other part of this is that most universities have the notion of the value of "residential education"; since college is about growing your mind, the value of being around others not merely in class, but "at home", too, not only helps you all get your homework & projects done, but it also encourages further discussion of lectures as well as sharing from a wider variety of backgrounds. ALL of those enhance your experience, and can help you form long-lasting friendships & *networks* which can help you.

It isn't a punishment.

BUT...you need to find out about TRANSFER student requirements, including talking with the Transfer Credit people, to see how they feel about your specific community college, and what university requirements you'll have to fulfill, etc.

The application is different, the process is different.

depends on the school. Smaller ones, junior colleges, that don’t have many dorms might not have that rule. The university here requires it for students under 21 their freshman year only, but if they live at home with parents they can drive back and forth to campus. The university tried to get hard-nosed about it over 15 years ago telling the students that all of them had to live in the dorms their freshman year if they were under 21 and mothers held a protest in front of the president’s house and he let it slide rather than get more bad publicity. The university try to explain it as giving the students a college experience of living in an atmosphere with diverse people. In reality it’s a money-sucking business that gets students or their parents into needless debt.

Depends on the school. Probably not, but I know some schools highly encourage it. I'm guessing some require it but I imagine for most as long as they get your money they won't care where you live.

Your argument to them would be "I am a third-year student as I already have an Associates Degree"

FWIW... I didn't even start college until I was 40 and had a wife and 2 kids....

Sounds like a cash grab. what an absurd rule if true

Not that I'm aware of. I certainly didn't. It probably depends more on the specific university than a general rule. Public universities technically count as government institutions, so the specific state government probably has a hand in making the rules for admission

Doubtful but it would probably be best to call that school and ask. If you were a freshman straight out of high school they might want you to be in the dorm but since you've had some community college they might not expect it.

most universities required unless you live in the city and or with your parents or a relative

I have never lived on a University campus.

It's required to acclimate to the school's culture

Never heard of that. I didn’t.