Before the 21st century, the post office and village shop were located opposite Cranbourne Drive at the bottom of Otterbourne Hill.

Famous people from Otterbourne include Chris Tremlett who plays cricket for England and Surrey and novelist Charlotte Mary Yonge.

The village of Otterbourne, on the stream Otter Bourne, lies on the old Roman road between Venta Belgarum (Winchester) and Clausentum (Southampton).

The physicist Sir Isaac Newton lodged at Cranbury House in his twilight years,[6] and John Keble, a leader of the Oxford Movement, settled down as vicar of the parish church, St Matthew's, around 1838.

[7] At that time, Otterbourne's novelist Charlotte Mary Yonge (1823–1901) was 15 years old; her writings were influenced by Keble's sermons.

On 17 August 2005, resident Anthony Rice murdered Naomi Bryant at her home in Winchester, prompting an independent review (pdf) of his case by HM Inspectorate of Probation.