The area surrounding the Elk River was inhabited by Cherokee Indians before western settlement, although no evidence of a permanent Cherokee settlement has ever been found. It is likely the area was used for hunting and fishing. The first permanent settlement was established by Martin L. Banner 1848. Although the Banner family originally came from Wales, Martin Banner moved from Forsyth County located in the piedmont region of North Carolina. Eventually, the Banner family grew to 55 members, and the area where they lived became known as Banner�s Elk. This name was later shortened to Banner Elk when the town was incorporated in 1911 (Heritage, 1976). A few of the founding family homes are still standing, including what has become the Azalea Inn Bed and Breakfast
