The need for more space has become "increasingly important" over the past two decades, according to the Federation of Master Builders (FMB).
A recent poll of small and medium-sized (SME) construction companies revealed two-thirds (61%) believed creating more space was the most important consideration for customers.
With some of the smallest houses in Europe, and average UK prices approaching £300,000, FMB chief executive Brian Berry said creating more space is now the "most significant reason for home owners calling in a builder".
"The average cost of moving house is likely to be around 5% of the value of the new house. You can create a lot of new space in your existing home for that amount of money," Mr Berry said.
"Installing inside toilets and central heating might have been the aspiration of home owners in the 50s and 60s but now the focus is firmly on the need to increase space."
(LM/CD)
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