Underwood is a town in Pottawattamie County, Iowa, United States.

The historical information provided here was taken from a book on Pottawattamie County's past.

[4] With the coming of the Chicago, Rock Island and Pacific Railroad in 1869, the town of Underwood was established three miles northeast of Downsville, which was later abandoned and has entirely disappeared (with the exception of a cemetery).

In 1882, the other railroad that crossed through Norwalk Township, Chicago, Milwaukee and St. Paul, built a station house, erected a water tank and laid a switch.

The name Underwood comes from the name of the first engineer to run a train over the Milwaukee tracks.

Two farmers cut the corn stalks off to make a road to the Milwaukee tracks so the depot could be built.

From 1907 to 1910 the telephone came to town, a water works system was installed and cement sidewalks constructed.

[4] In 2012, Jack Links opened a distribution center in Underwood, providing a $15,000 donation to the community.

[5] According to the United States Census Bureau, the town has a total area of 0.46 square miles (1.19 km2), all land.

[6] Underwood, Iowa is located in the Loess Hills, a prairie made of windblown soil deposited following the last Ice Age.

There were 336 housing units at an average density of 730.4 per square mile (282.0/km2).

17.6% of all households were made up of individuals, and 7.3% had someone living alone who was 65 years of age or older.

25.2% of all households were made up of individuals, and 12.4% had someone living alone who was 65 years of age or older.