+1 to this. However, any price correction in the more desirable parts of the LA basin will be temporary at best. Pricr corrections in CA coastal real estate tend to be a slowing of price appreciation, or maybe a temporary flat lining of prices. If any actual declines occur, they are short -lived. For anyone planning to live in the area long term, I'd advise buying. That said, as you pointed out, in certain CA metro areas (SF, LA,.SD), renting is indeed cheaper than buying, and CA rental laws are extremely favorable to tenants and hostile to landlords. So if the gentleman in question is thinking of staying in LA only a few years, then absolutely yes, renting makes more sense.