It's definitely better for you to stay as a visitor than to withdraw and then do an inland application.
I'm currently contemplating moving in with my husband before my PR application is complete, because frankly, I'm sick of waiting!

Our application was received March 31, 2011. And we're stiiiiiiill waaaaaaiting. We were legally married Oct. 1, 2010, and had a second, family wedding on Oct 1, 2011.
Staying with your husband while you wait on your application is totally legal and is considered "dual intent." This means you have the intention of living in Canada permanently, but you also have the intention of staying for a long (temporary) visit.
If you plan to stay with your husband long-term while you wait on your application (more than a few weeks), say so when you cross into Canada, and mention that you have a PR application in process. The IO should give you no trouble. (S)he will issue you a visitor's visa, which will be good for 6 months to a year. You can come back sooner than that, but you will be allowed to stay in Canada for that long without getting into any trouble or jeopardizing your application.
Just in case, you might want to bring copies of bank statements and proof of your residence, in case the IO asks a lot of questions (but he/she shouldn't).
The sticky wicket, is what to do about your job, your home, your car, your "residential address" when you go for an extended visit. This is what I'm trying to figure out right now.
There's a lot of info and some very helpful people on the "Thread for outland Buffalo applicants" forum, also under Family Class Sponsorship. They know even more about this process than me!
Hope this helps and that everything works out ok for you.
-Maddy