Most transfer students don't live in dorms. I did and really enjoyed it. But, he should expect most of his floor-mates to be freshman. That might be a deal breaker for him.
Co-ops are also on the cheaper side. They are essentially non-campus affiliated dorms. He'd have to visit a co-op to see if it's for him. You'd either love it or hate it living there.
Renting an apartment with roommates is the cheapest option. Finding an inexpensive 1-bedroom apartment is near impossible. I remember an ad for a 6 by 8 room, 2 blocks away from campus, for $900/month.
As far as getting parking for his car. He'd have to find a private lot advertising parking on craigslist. It'll probably cost $100/month. Emphasize that he should expect to get parking tickets in Berkeley & SF. Everyone I know got a few. If he wants to save money, don't bring up a car. It'll only be another expense. You can get by with public transportation.
I forgot to mention. If he's really hurting for money, you can find "crackhouse" quality housing for $650/month. If he's willing to share a bedroom, he can come across some pretty cheap living situations. Essentially dorms have 3 people sharing a room paying $1100 each. In an apartment, those 3 people would split $1100 for a room.
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