As I understand it, you won't be able to apply for a Parent visa if you are inside Australia on a visitor visa - this is condition 8503. To even attempt this, you'd have to secure a visitor visa without condition 8503 and the Department of Home Affairs officers scrutinise those closely if they suspect someone is trying migration shortcuts.
You also cannot apply for the Parent visa in England and then get a visitor visa on top to travel.
You could apply for the Sponsored Parent (Temporary) Visa (Subclass 870): This allows parents to stay in Australia for up to 3 or 5 years at a time. While it does not lead to permanent residency and requires an approved sponsor, it allows for multiple entries depending on the visa grant, though holders must still abide by overall stay limits and conditions.
Or
Longer Validity Visitor Visas: Parents in the parent visa queue (such as the subclass 103 queue) offshore can sometimes be considered for extended tourist stream visitor visas (allowing cumulative stays of up to 12 months in an 18-month period over a multi-year validity window), though these still require strict adherence to "genuine visitor" rules and time-out-of-Australia requirements.
I don't think there's any way for you to actually live there. But with the 2 visa's above you could stay for a very long time, but I think the cap is 10 years. So for eg, you could maybe get the sponsored parent visa twice for 5 years, but then you would have to leave.
Of course you can't even start the parent visa until your other daughter moves there, because at present only 33% of your children are there.
I have a DD in Australia. Melbourne too actually. DH and I plan to visit for 3 months every winter once we have retired. It'll be summer over there, so that's perfect. I don't think it's wise to sell up and have all this angst about visa's. Bear in mind that your DD could easily move and then you'd be stuck there with no family.
I think the Department who approve visa's are quite selective and they are not processed in the order they are submitted. My DD and her DH applied for permanent residency a few months ago, and it was granted yesterday - very fast. Her colleague from India applied almost 2 years ago and has heard nothing.