How can I live and work in the U.S. while my EB-5 application is pending?

It is correct that unless your application is backlogged, for example you are from China or India, then you may not be able to file an adjustment. The best option is to try and enter on a dual intent visa such as an H-1B or L-1. You may be able to enter on an O-1 or E-2, but need to clearly disclose your intent. Entering on a student or visitor visa with a plan to adjust may not be allowed and you need to be very careful and be sure to have competent advice.

Only true if your Priority Date is current per the DOS Visa Bulletin. Your Priority Date is the date on your I-526 that they received your case.

You will need to qualify for a nonimmigrant visa status. The I-526 filing itself does not grant you any immigration benefits.

It all depends on whether you are eligible to apply for adjustment of status or AOS concurrently (meaning, at the same time) as your I-526/I-526E petition. When an AOS is properly filed, an applicant can also request temporary work authorization and a travel document, which can be renewed while the AOS remains pending. The AOS should remain pending until the I-526/I-526E is adjudicated.

It is true, not just immigration hocus-pocus. We have filed literally hundreds this year. It is called concurrent filing and so long as you are in the U.S. on a valid visa and have a current priority date, you may be eligible.

No, that is not correct.