Varnville was founded by the Varn Brothers, who sold the right-of-way for railroad tracks through their sawmill in 1872, prior to Hampton County's founding. In 1878, Hampton County was created from Beaufort County, and the site for the county seat was located 3 miles (5 km) northwest of Varnville, eventually becoming the town of Hampton. Varnville grew as a result of its close proximity to the county seat as well as its connections with surrounding agricultural areas. In 1993, several scenes from the film Forrest Gump were shot in Varnville, of which some were used to create the fictional town of Greenbow, Alabama.
The Hattie J. Peeples House was listed on the National Register of Historic Places in 1992.
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