Once the site of the Twelve Mile House (a stagecoach station on the Butterfield Overland Mail route), Coyote is notable for its historic Grange Hall, close to the Post Office and the Metcalf Energy Center.

[3] The community was nearly absorbed by San Jose's urban sprawl, until collapse of the dot-com bubble canceled the city's plans.

[3] Due to the moderating influence of the Pacific Ocean, Coyote enjoys a mild, Mediterranean climate.

Average annual precipitation is 480 mm (18.9 in), and the summer months are typically dry.

The local climate supports chaparral and grassland biomes, with stands of live oak at higher elevations.