[1] The village is mentioned in the Domesday Book as "Dune" with the manor belonging to Count Alan of Brittany.

The lordship of the manor was granted by the Count to Gospatric, son of Arnketil around the time of the Norman Conquest.

The nearest settlements of Marske, Hudswell, Stainton and Marrick all lie within 2.5 miles (4 km) of the village.

There are visible signs of old quarries and coal and lead mining shafts on the hillsides surrounding the village.

[7] The geology of the area is made of Yoredale rock, Limestone, Shale and Millstone Grit covered by Clay.

[11] The village of Downholme has its own public house, the Bolton Arms, which first featured in the UK Good Pub Guide 2011 and in the current online edition.