Although there are many capital gain prospects for those who get in cheap, one still has be be careful. I have been warning people to be cautious when buying in Frankston. Why over-pay when tere is so much value around?!
http://www.realestate.com.au/property-house-vic-frankston+south-117877843
Buying this house will not get you much, if any, capital gain. It's highly overpriced, given its condition and location. Worst of all, it appears to be structurally impaired. A reno cannot fix the problems which TMNT noticed in the pic. Definitely fit for tearing down. As a Frankston fan, I would not pay more than $350,000 for it. Maybe rent it out for a few years and then tear it down. I say again: this is not worth anywhere near the asking price, given its condition.
Move on folks. If you are chasing capital gain, there is better value elsewhere in Frankston, Seaford or even North Frankston. Plenty of stuff under $400,000, with no reno required. Most are on dual occ blocks. For North Frankston, you get a bigger discount - plenty of rentable houses on dual occ sites, priced well below $300,000