I think life can be a illusion in the sense that everything in it doesn´t have a meaning by itself, but its we who give things a meaning. We are discussing if life is real, or not, but "reality" is just a meaning that we give to life. In this sense even the concept of "reality" is subjective since it is like just a feeling.... we feel safe living in this world we live, so we say that it is real, but real is just a feeling not a objective truth.