It is thought that Terrigal was part of the lands of the Awabakal or Guringgai Aboriginal people prior to European settlement. The meaning of ‘Terrigal’ remains unclear. It may derive from the Aboriginal ‘Tarragul’, in which case it would translate to ‘a place of little birds’ or ‘Tarriga’, meaning ‘a place of, or where one can find wild figs’.

John Gray was the first European settler to settle here, arriving in 1826.

By the 1870s, a sawmill was operating in the area and later, dairying grew to become an important local industry. It is no surprise that Terrigal, with its beautiful beaches and coastal location, began to develop as a tourist destination from the late 1800s and continues in this vein today.