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Archeolgical finds prove that there was a settlement here as early as the 11th century.
The town received its town privileges in 1323. In the 14th century the city had obtained a monopoly on the salt trade with the Bavarian city of Passau. Hussites conquered it in 1420, as a reward for its later return to the royalist fold in 1436 it gained a royal town rights. After a big fire in 1507 Prachatice was completely rebuilt and the houses were ornamented with graffiti. At that time trade in salt on the Passau trail reached its zenith, up to 1300 barrels of salt were delivered weekly and the Prachatice citizens were among the wealthiest in the country.
During the Thirty Years' War Prachatice was captured and all rights and privileges were seized. The town declined and the new development began in the 20th century.
The Late-Gothic and Renaissance face of the historical centre of the town has been preserved up till this day, because of a long building stagnation, which lasted for hundreds of years.
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