Originally named Liberty Oak, the town was founded in 1809 near the plantation of John Leak.

Sandy Creek, a tributary of the Deep River, drains the town on the west and northwest.

Also, the Liberty Showcase has had many distinguished Nashville recording stars such as Ronnie McDowell, Lorrie Morgan, Gene Watson, Exile, and many more.

The movies Killers Three (1968) and Children of the Corn II: The Final Sacrifice (1993) were filmed in Liberty and the surrounding areas.

Other local landmarks are the historical Liberty train station (which is not open to the public), and the Vance York house.

In addition to having several private airports in the vicinity, Liberty lies at the intersection of several air traffic routes that serve the East Coast.

A Vortac owned by the Federal Aviation Administration for air traffic navigation is based just outside town near Sandy Creek Church.