In about 1887, the Froman Ferry was established to cross the Snake River about two miles downstream from the location of the present-day Marsing bridge. Another ferry, upstream from that bridge, was also established and originally call the Henderson Ferry (later referred to as the Nampa Ferry). A Bedford Cabin school, located between the Froman and Henderson Ferries, existed in the early years of the settlement. A later school was called the Edison School, which also no longer exists.

The Gem Irrigation District began delivering irrigation water from the Snake River to the area in 1909. A site near the Nampa Ferry was selected for the construction of a bridge across the Snake River and a town site was platted on the south side of the river in 1920. That town was named Butte and then later changed to Marsing, for an early settler with that surname.

A post office was opened in Marsing in 1921 and the building is still standing today on Main Street. In 1941, Marsing became incorporated as a City.