[2][3][4] In 1125 David I, King of Scots, founded a priory, as a cell of the Benedictine Dunfermline Abbey, on low ground just to the ENE of the village.

However, in 1454 the Benedictine's abandoned Urquhart Priory, moving instead to Pluscarden Abbey, SW of Elgin, after the merger of the two had been agreed by a bull of Pope Nicholas V. The buildings soon started to fall into disrepair and decay and in 1654 the site had become a ruin and the remaining building materials were removed to be used in the construction of a granary in the nearby village of Garmouth and in the repair of the manse and churchyard wall.

Two beautiful stained glass windows from the Free Church and a Celtic Cross, thought to have come from the priory, were incorporated into the building.

The Parish Church and manse were sold, the former now converted to a bed and breakfast and St. Margaret's Hall is now used as the village place of worship, with services being held there on the last Sunday of each month at 7pm.

In 1884 a station was opened in Urquhart on the Great North of Scotland Railway (GNSR) Moray Coast line.