We use the present simple to talk about permanent facts and general truths. In this example we don’t expect the situation to change.
She lives with her parents.
We use the present continuous to talk about something temporary. In this example we do expect the situation to change.
She’s living with her parents.
For me it is not always clear when I should consider situation as permanent. Let's say for example that I want to ask Ellie a question about school.
What foreign language do you learn at school?
What foreign language are you learning at school?
On the one hand, I do not expect the situation to change in the near future. On the other hand, I understand that sooner or later Ellie will finish school, so the situation is clearly not permanent. Moreover, the question of what is the near future is quite philosophical. Is it a month, six months, a year or ten years? This also makes it difficult to make the right choice.
I understand that native speakers make a choice without really thinking about such things. I'm wondering what rule of thumb they use.