The council had also received 27 written objections to the scheme, with one letter of support adding it would provide more affordable accommodation for young, single people in Oswestry.
Planning officers agreed it would provide low-cost housing for couples and single persons “within a sustainable location”.
However they conclued the proposal would “unacceptably impact upon the amenity for both proposed occupants and existing neighbouring residents”.
“The introduction of an HMO in this location is likely to result in increased noise and disturbance, adversely affecting the residential amenity of neighbouring properties,” planners added in their assessment.
“Whilst these activities would still occur in and around a house occupied as a family dwelling it would be to a lesser extent and commensurate with the housing estate setting.”