Teague is at the junction of U. S. Highway 84, State Highway 179,and Farm road 80 and I-45, nine miles southwest of Fairfield in western Freestone County. The area was first settled around  the time of the Civil War. During the latter half of the nineteenth century a small community known as Brewer, grew up at the site. When the Trinity and Brazos Valley Railway was built through the county in 1906, it located its machine and car shops at the site.

The town, renamed Teague after Betty Teague, niece of railroad magnate Bengamin Franklin Yoakum, was incorporated in 1906.

The community served as a shipping center for area cotton farmers and grew rapidly. By 1914 it had Baptist and Presbyterian churches, as well as public schools, waterworks, an electric light plant, an ice plant, three banks, two cotton gins, a cottonseed oil mill, a cotton compress, the Teague Daily News, two weekly newspapers, and a population of 3,300. Teague continued to prosper during the 1920's.

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