To get back to the original question...
I bought a small live tree that I used last Xmas. I live in a flat with a large balcony area, so I asked the guy when I bought it whether it was possible to keep it alive in such a situation, and he said it should be fine.
So after Xmas, I put it outside and in Spring I planted it into a large pot.
Initially, a lot of the top of the tree had brown needles. However, it started to sprout some new growths and they've been growing all year since, so it's doing just fine.
My original plan of bringing it back in and using it again has gone out the window though. Firstly, it's heavy! Bare in mind this is only a small tree as well! As it has its roots and obviously needs a decent size pot.
Secondly, it's in a pot which is obviously somewhat free draining... you can't put it outside in a sealed pot, as it would get bogged up in water. You can't really remove it from the pot, thus the problem is that if you bring it in the house, you are going to have to find some way of having the water that drains through the pot into something else, most likely that would be kind of unsightly.
Thirdly you've got insects and whatever else that have taken residence inside the tree and compost.
So this year I've decided just to buy a nice looking fake tree instead... which is bigger and arguably better looking. However, I do miss having a real tree and the smell it gives off.