In 1805, Jonathan Underwood came from New England and was the first to settle in the area now known as Hilton. Originally known as Unionville, the village was incorporated in 1885 as North Parma. In 1896 the name was changed to Hilton to honor Reverend Charles Augustus Hilton, a former pastor of the village's Freewill Baptist Church. Over 60% of the central business district was destroyed by fire in March 1965 and later rebuilt.