If you haven't started planning yet then you are likely months away from starting. Whether or not you need planning permission you will almost certainly need a building warrant. Some go through super easy! Ours was a nightmare... with building control making us specify down to the exact manufacturer for windows and UFH.
Also, don't underestimate how long it takes to get proper quotes. Our main contractor took months and many of our individual ones weeks.
I would thoroughly recommend using that time to make as many decisions as possible.
Kitchen units, doors, worktops?
Appliances?
Floor?
Windows?
Doors (internal and external)?
Sockets (where and what style)?
Lights (style, type, where and where do you want switches)
Paint (colour and brand)?
I have been at this for a year now and we still haven't started digging (was supposed to start first week in Feb but we were a foot under snow and now builders are playing catch up). I still have key decisions to make but I'm confident that by the time the extension is underway I'll have made them all in advance, hopefully reducing some of the stress and minimising mistakes. It also reduces costs if you don't make chnages to the plan part way through. And it'll help you start an accurate estimate now (builder quotes often assume lowest spec so costs quickly escalate when you up spec).
As for living in it... this extension is unbelievably expensive (nearly double the budget we gave the architect and thats not with high spec anything) so we have not got anything left to rent. Luckily my mum lives 45 minutes down the road and has space for us but we can only make that work in school holidays (eldest in school nursery). I have a 2 year old, 3 year old and a baby due in July.
Unfortunately absolutely everything in our build is interdependent so trying to isolate bits wr can do in advance etc has not worked. We are reconfiguring the ground floor and having new boiler, hot and cold water tanks, system pump and water treatment (private water). We could almost have done the entire extension without knocking into the existing house except that i want the UFH manifold in a cupboard in the existing house and that kills it!
In short (cos this is now mammoth)... you need a plan of how the work will happen and where the services etc are and then you can plan whether you can majority of extension without impacting existing house.
If you do decide to live in it, aside from lack of kitchen etc the biggest impact will be the dust. Do not underestimate it, it will be epic! Inches of rhe stuff and absolutely everywhere. No matter how many times you clean it up. It will keep reappearing til weeks after the builders leave.
You get zip up protector things for doors on Amazon. Buy them and use them so at least you can keep some of it out of bedrooms etc.
Good luck!