Derwood is an unincorporated area and census-designated place in east-central Montgomery County, Maryland, United States.

It lies just north of Rockville, southeast of Gaithersburg, southwest of Olney, and northwest of the greater Silver Spring area.

The unincorporated area of Derwood includes the neighborhoods of Derwood Heights, Derwood Station, Mill Creek Towne, Needwood Estates, Muncaster Manor, Muncaster View, Hollybrooke, Granby Woods, Park Overlook, Preserve at Rock Creek, Redland Crossing, Candlewood Park, Cashell Estates, Avery Forest, Avery Lodge, Avery Village, Bowie Mill Estates, Bowie Mill Park, Winters Run, Redland Station, Rolling Knolls, Emory Grove, and Shady Grove Crossing, but the census-designated place consists of a far smaller area.

Between 2009 and 2011, Maryland Route 200 (also known as the Intercounty Connector or ICC) was constructed directly through central Derwood, affecting Cashell Estates and areas near Shady Grove Road.

[2] Derwood is located in the north central part of Montgomery County, in the Atlantic coastal plain.