[2] Many of the street names in the suburb honour members of the Hamersley family, including Ethel, Margaret, Mary, Ada and Elsie.

In 1918, the area was subdivided as the Mt Flora Estates, but initial development was largely limited to holiday shacks.

After World War II, the area developed rapidly, and in 1954, the postal district of Watermans Bay was approved.

[3] It is in fact a "bay", divided by onshore cliffs and offshore reefs to north and south with a wide sandy beach, and a place to launch fishing boats.

Reid Highway ends at the southeastern corner, and is the suburb's outlet to the Mitchell Freeway and the Perth central business district.

[6] At the 2006 Australian census, Waterman had a population of 1,195 people living in 494 dwellings, with an average age of 45 years (the third-oldest in the northern suburbs).

[7] Residential styles in Watermans Bay range from timber and fibro workers' homes to modern two storey dwellings constructed of brick.

Watermans Bay is served by the 423 bus between Warwick and Stirling train stations, operated by Swan Transit.