The community was named for native baneberry bushes near the original town site.

[6] According to the United States Census Bureau, the city has a total area of 1.8 square miles (4.7 km2), all land.

As of the 2020 United States census, there were 523 people, 236 households, and 187 families residing in the city.

As of the census[3] of 2010, there were 482 people living in the city; a 31.7% population increase since 2000 or 45.2% since 1990.

Baneberry is known locally and regionally as a resort community on the shores of Douglas Lake.