Plans for three properties in Margaret Road, Epping - to be managed by the Theydon Trust which provides housing for local people - are being opposed by the town council.
Tuesday's planning and general purposes committee meeting heard concerns from neighbours who said the proposed properties would have a "huge, powerful impact" on the area because of a range of issues including the overlooking of properties, privacy, the loss of daylight to the gardens and back windows and the loss of mature trees and dense hedging.
Councillors were told that four off-road parking spaces with dropped kerbs were proposed, which would mean the loss of five on-street parking spaces.
Councillor Mari-Louise Whitbread said such properties were "very deserving" but she expressed concern over the issues raised by neighbours,
She said: "I find it hard to object totally. We need those dwellings in Epping but I certainly think some of it needs looking at again, especially the overlooking."
The committee voted to object to two applications - one for two dwellings on land behind 1-7 Margaret Road and a separate application for one dwelling next to 7 Margaret Road - on the grounds of loss of amenity, parking and overdevelopment.
Councillor Cherry McCredie said: "Whilst I accept we need extra housing, there becomes a point of saturation."
The committee said it appreciated the need for such accommodation but said it would like to see a redesign of the scheme.