Grafton is a town in Windham County, Vermont, United States. The population was 679 at the 2010 census.
In the early 19th century, sheep raising became popular and multiple woolen mills sprang up along the branches of the Saxtons River. Soapstone was quarried on nearby Bear Mountain. The town became a notable stagecoach hub for traffic across the Green Mountains into Albany, New York. One inn from that era, "the Old Tavern," was founded in 1801. It remains one of the oldest continually operating hotels in the United States.
Grafton had a population of almost 1,500 just before the American Civil War. The town suffered severe losses during the Civil War. Local cemeteries in the village hold many tombstones of casualties from the Battle of Gettysburg.
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