The town was named after Dr Thomas Braidwood Wilson. He had been a surgeon on the ships taking convicts to New South Wales and Van Diemen's Land (now known as Tasmania). He was first given land in Van Diemen's Land in 1824, but changed it for land near Lake George in 1825. He was also given of land in the 'new country' on Monkittee and Flood creeks. In 1833 the government took back the western end of Wilson's land for a future village. They gave him more land at the eastern land in return. Wilson moved to the district in late 1836 with his wife and family. He became a community leader. He built the first courthouse in 1837-38. In 1840 Wilson asked the government to build a road from Braidwood to Huskisson for faster and cheaper shipping of wool to Sydney. Wilson and Col. John Mackenzie, supplied the materials and men to make the Braidwood to Nerriga section. In 1841 there were 141 people living at Braidwood Farm. Wilson lost all of his money because of a drought in the late 1830s. He died in November 1843. His land was sold for £2,000 to John Coghill, who now owned most of the land on the south, east and north of the town. Wilson still owned land on a hill north of the town and was buried there in 1843.