Greenwood is on Farm Road 900 near the Franklin county line six miles south of Saltillo in far eastern Hopkins County. It was established around 1859 and originally known as Penn after the Penn family, prominent local settlers. A store opened there in 1874, and a post office named Penn operated from 1880 until 1906. By 1885 the town had three churches, a school, a steam gristmill and cotton gin, a general store, a blacksmith, a harnassmaker, and a population of sixty. In 1892 the town had a reported population of 100. By 1915 the name of the community had been changed from Penn to Greenwood, after a prominent family that farmed in the area. During the mid-1930s the town had two businesses, a school, a church, a cemetery, and a number of scattered dwellings. By 1940 its population had fallen to fifty. After World War II its population continued to decline, reaching twenty in 1952, but rebounded slightly to thirty-five during the 1970s. In 1985 the community had a church and a number of farm houses, and through 2000 its population was still listed at thirty-five.
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