Is frankston area good to invest in??

Frankston has been a good area for us ….but….I think it may had its burst of growth now and settle back into something like the outer burbs norm.   We have been there for a couple of years now and have enjoyed good rental growth and theoretical capital growth  (I only beleive that when the contracts are exchanged and the money is in the bank).  Although it is outer burbs I think there is value there due to being well connected transport wise and under valued water proximity wise.

From an interstate perspective (we orginally came from Sydney half a lifetime ago) it is massively underpriced given proximity to Bay, freeway and rail.   Frankston had a bit of a bogan/moccasin wearer reputation, which to some extent was true but I think is slowly waning.  South Frankston/Olivers hill is the 'better" area, although that doesnt necessarily equate to better capital growth or better tenants. 

Matter of opinion re what Frankston is.  Its a bit like people who devalue Melbournes west, often without having lived or worked there…… I heard,  someone said,  my brother in laws 2nd cousin reckons type stuff.

Yes a property where you talk about will be cheaper than the CBD 40ish kilometeres away,  thats pretty normal in any city.  It is a pretty risky line of thinking linking rates in one city to another.  Perth is in the middle of a mining boom that may go on for decades or may end next year.  Personally I dont want Melbourne to go they way Sydney and Perth have gone as we will have as many people in the shit as they have.  If progress is steady and we lag those places that will be fine (and in todays world not going backwards would be equally fine). 

There are many good areas to invest in Melbourne,  but what are your objectives?  just to get into this market or something you want to move to later or ……………….?    From a personal perspective if I had another 300k to invest in Melbourne I would buy a 2BR apartment in the inner north < 10k from the CBD.   We have one there now and I am selling up a place further out (not Frankston as I think it  still has growth potential) to invest further.    Areas of the inner west are re-cycling now also and have reasonable prices and city proximity.

I dont think I would buy in Frankston again (unless we stumble on a great deal) as we already have a place there and as I said I think it will quiet down again now.  I am happy to hold the place we have there.    If you use the search  in these forums you will find plenty of debate on the Melbourne east vs west topic,  not all rational and usually just about entrenched positions and biases.   Parts of Melbournes west are industrial, parts very livable places…..same for east.   Melbourne is now about 70kms across ,  its dumb to generalise.   A lot of people judeg based on what they can see from a freeway.

Your objectives to me say inner location.  You can still get a reasonable apartment within 10k of the CBD with good transport access afor 300k.   I think that is pretty good in a city this size and I doubt it will last too much longer

Re waiting:   Timing as always an issue.   Ask your self what would you need to see in a few months to feel comfortable.  Would you actually do something then or will you just wait another few months etc etc.    There are many reasons to do nothing  e.g the market had gone down so I will wait to see if it goes lower,  the market has gone up so now I cant buy where I wanted to or am I buying at a peak?

I think there is value to be had here ,  but finding it from Perth would be difficult unless you are over often or perhaps engage a buyers agent.   Others here may have ideas to help a search if you decide to go ahead.