Rick Bragg has owned his holiday flat in the town for nearly 20 years and argued that part-time residents were vital to the local economy.
“We are here and spending money, doing all the things that people do where they live.”
Mr Bragg said the meeting of second home owners saw several of them question whether their properties would be suitable for young buyers.
“People don’t want to live in a two-bedroom ground floor flat with no outside space. The Crescent Gardens in Filey are Grade II-listed, heating and lifts can’t be put in, people don’t want to live like that.
“They want a garden and space to bring the kids up.”
Dadd said he did not accept the traders’ claims.
“Surely if you’ve got somebody living there 52 weeks a year, the spend from that individual and family will be greater than someone who rocks up two or three times a year.”
He also disputed the argument that the second homes, including apartments, did not meet local needs.
“We’ve got a housing waiting list. Local people are having to move out of North Yorkshire because of the lack of availability.
“If you are starting out on the journey of home ownership, a flat is better than nothing.”