Yes - it can definitely have its weight in the decision of ECO, it is one of the requirements that the house won't be overcrowded. Depends on total number of people living in the house, age of your kids and area of the rooms.
Please see this link - UKBA - Entry Clearance Guidance - Accomodation - it should give you some answers as it is basically guidance for the Entry Clearance Officers when assessing the applications.
Good luck![]()