As a first-time buyer, Tim Miller is in a fortunate position. He has a large deposit, which means he has been able to secure a reasonably competitive mortgage rate. He has also negotiated a good discount on his London property purchase .

Mr Miller, a 31-year-old economic consultant for an accounting firm, is aware that his low loan-to-value requirement has been a big help. His mortgage is worth around 80 per cent of his property price.