Karen's place was exactly as described. Location is perfect since it's just a 15-min walk to the beach as well as to the vibrant Acland and Ormond streets. Elwood is calm and residential, so it was ideal for our 9-night stay.
The place was clean and provided us privacy, yet it was easy to resolve minor issues, since Karen and Jon live just across. We unfortunately experienced some leaks on the roof, but they will have it fixed after our departure.
It is also very well-equiped with kitchenware, so we felt like we're at home. The only difficulty for us was withstanding the cold end of winter weather, since the place isn't well insulated. Apparently that is a common issue among housing in Melbourne.
We definitely recommend staying over at Karen's.