I want to refer to 2 kids and draw some parallelisms. John is alive now. Mark is dead.
John lives in New York. "Mark LIVED in New York" or "Mark USED TO LIVE in New York".
John likes to play soccer. Mark LIKED or USED TO LIKE playing soccer?
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"Mark used to live in New York" implies Mark lived there and now doesn't, but he might still live, though not particularly in New York.
"Mark lived in New York" is, in my opinion, more suitable when talking about a dead person.
However, if you state that Mark is dead before writing where he lived, then you can say "used to". Otherwise, you might make the reader confused (in terms of Mark's situation - being dead).
E.g.: "Mark died a week ago. [blah-blah-blah]. He was a smart guy, used to play soccer(,) and lived in New York."