It's not worse than a tent / car, and you don't need to stay in California. Although there are spots for less than $500, even in CA.

No, that's an average luxury apartment or 2 bedroom regular apartment. If you're working a minimum wage job you can live with roommates. You can absolutely find a shared room with 1 other person for $900/mo (OP's $7.25 assumption is wrong as minimum wage in LA is $16.04/h = $2500/mo fulltime). In California you would also qualify for MediCal which is completely free, including 0 copay.

>The average Apartment in California is over $3000

In the Bay Area or L.A.; not the other 90% of CA.

Probably leave california. They'll even give you a bus ticket for free.