It has been known due to findings of historians that Dharmapuri has been one of the biggest settlements of Vedic Brahmans in Telangana since a very long time. Even the current population of vedic Brahmins speak volumes about this very fact. The area has evolved upto an extent that there is a Sanskrit College and even upto this date there are some traditional and culturally orthodox families that practice the Vedic Hymns. Some families even possess the ancient Talapatra scriptures. Dharmapuri has numerous tiny temples scattered in almost every corner the city. Even now people, mostly brahman scholars, would bathe in the river Godavari before performing vedic rituals in temple. Also there exists one exceptional temple of the God Duttatreya (Lord Brahma's son) which indeed is hard to come by in these times.

Historians and archeologists estimate that the temple can be dated to have originated as long before as the 13th century AD. The temple attained its importance due to being one of the only few shrines to depict the worship of Narasimha Swamy, who was widely believed to have been a manifestation of Lord Vishnu. Ramalingeswara Temple which is close to 1000 years old is in the proximity of the Dharmapuri Laxmi Narsimha Swamy Temple. It is said in common folklore that the Shiv Lingam installed in this temple was placed by Lord Rama during his exile on way to Lanka in search of Sitha Maata.

It is estimated that close to 1,000 people visit the Sri Laxmi Narasimha Swamy temple everyday. Legends state that 'Once if a devotee visits the sacred place Dharmapuri there will not be Yamapuri'. Apart from the holy River Godavari, there are some other places in Dharmapuri where people can take a holy bath. Some of these places are Brahma Gundam, Yama Gundam, Satyavathi Gundam and Pala Gundam. The village of Dharmapuri witnessed the rise of some of the countries finest Sanskrit Scholars.