Planning inspector Glen Rollings said the impact on the character of the area, its ancient woodland, local nature reserve and on highway safety had been a bone of contention.
But he said the “urbanising effect of the development wouldn’t be out of character” and any visual harm in the long-term would be negligible.
Vegetation would screen the housing from view, he pointed out.
“The delivery of housing is essential, given the absence of an appropriate short-term land supply locally,” added Rollings.
“This would meet an identified need in the area, with affordable homes an extra benefit.”
An application for costs was made by Persimmon against the council.
Conservative Flitwick councillor Ian Adams, who attended the three-day inquiry in January, said on social media: “I feel particularly sad for the members of Flitwick local action group, who pushed so hard on this and couldn’t have done anything more for the cause.”