Cryptic crossword clue
Live inside, dressed as befits a monk 7

The most common and most likely answer to this crossword clue is the 7 letter word INHABIT

I've seen this crossword clue in Financial Times
I
N
H
A
B
I
T


Buddy explains!

The straight part
We know that "Live inside" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case live inside = inhabit.
The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.
This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.

What does INHABIT mean?

INHABIT verb
  1. To live or reside in.
  2. To be present in; to occupy.

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