Ian Heathcock took his fight to the Planning Inspectorate after Shropshire Council threw out the application for the property in Hollands Drive, St Martins, near Oswestry in the summer of 2021.
The council had been told that the owner had to move the business out of the house because she had recently had a baby and needs the room for a bedroom.
But this week planning inspector Helen Smith decided to dismiss the appeal.
Ms Smith said: "I acknowledge the proposal would be of particular benefit to the appellant and their family in allowing them to relocate the business from the dwelling to the garage unit.
"However, planning decisions must be made in the public interest and therefore, such personal benefits attract little weight."
She added that "a lack of objections from neighbours is a neutral matter and cannot outweigh the harm that has been found."
The inspector said that if appointments were made every 20 minutes it would increase comings and goings on the modern estate where this is a lack of parking and the roads are narrow.
In her decision letter dated March 21, the inspector added: "Although the business does not currently operate at full capacity and the owner does not employ any staff, there is the potential that the business could grow, being located in a separate building.
"Additional traffic would likely be generated from any increased growth of the business, such as an increased number of customer appointments throughout the day, possible recruitment of staff that would need to park, and delivery vehicles to the business premises.
"Although I do not consider the proposal would compromise highway safety, the increased vehicle movements associated with the use and the inadequate offstreet parking provision would have an anti-social impact on the residential area through potential disturbance to neighbours."