East Riding Council’s Planning Committee voted to defer Bellway Homes’ plans for the homes, off Willerby’s Great Gutter Lane West.
Paul Thornton, who spoke for Bellway Homes, told councillors the developer had agreed to more than £400,000 of local road improvements and to better buffers to protect neighbouring homes.
But Willerby and Kirk Ella ward member Coun Shaun Horton said there were no guarantees road upgrades would make up for the amount of new cars.
Ward member Coun Ben Weeks said approval would be a leap into the unknown and proposed green space about a third of a mile away would be hard to reach.
Plans for the estate feature 11 five bedroom, 70 four, 72 three 43 two and eight one bedroom homes, including 51 affordable ones.
They also include a children’s play area, open green space with an access road set to be built from Great Gutter Lane West.
Councillors heard East Riding highways officers had not objected to the plans on traffic grounds but the developer had agreed to widen driveways for some house types for more parking.
But they also heard Humberside Police were concerned the proposed location for the play area, in a disused quarry at the north east of the site, could breed antisocial behaviour.
A total of 49 residents objected to the plans and Kirk Ella and West Ella Parish Council called for them to be refused claiming they amounted to over-development.
Mr Thorton told the committee the plans had already been changed following consultations with locals.
The applicant’s agent said: “These plans follow two years of work including consultations with locals.
“The capacity of the local highway network was a key focus in their responses, our road upgrades will include a scheme for the Beverley Road roundabout. Roads will have the capacity for cars from this development as a result of those improvements.
“Several bungalows and ground floor apartments are included in the south east corner of the site. The play equipment will be of high quality and homes will overlook the green space to ensure its success.
“This will provide local employment opportunities and much needed housing.”
But Coun Horton said there was no shortage of new homes being built in the area.
The ward member said: “The roads around Papa’s Roundabout are already subject to extreme congestion.
“All traffic will leave and return via the B1232, there’s no alternative routes. Traffic schemes have been agreed but there’s no guarantees they will be enough.
“The schemes are anticipated to increase capacity by 30 per cent, but at peak times roads are already 20 per cent over capacity.
“By approving this congestion could become worse, you’re taking a gamble. The play area is also small and poorly designed, it would be unsafe.”
Coun Weeks said the future traffic situation hinged on whether the developer’s planned road upgrades would live up to expectations.
The ward councillor said: “Taking a decision now would be a dangerous leap into the unknown.
“Proposed road improvements are playing dangerously close with the margins, if you approve this and they don’t work there’s no mechanism to rescind.”