C has been in our room until about 3 weeks ago, in a bassinette, and co sleeping since 3 weeks old when DF is away and it worked wonderfully.
We are BFing so i think that makes a difference for the ease of night feeds and also to make me feel more comfortable too lol I couldn't bear the thought of her so far away (her room is down the other end of the house from ours).
It really is personal choice though, and whatever bubba is happy doing. If you have a very collicky baby or something, it may be helpful having them close by.

And the bassinette is handy as gracie said for other things too!
Good luck however you go!