The first mention of Moravské Budějovice comes from 1231, the town was mentioned in a document announcing that Pope Gregory IX. takes under his protection the widow of Přemysl Otakar I. and her dowry estates. Her name was Konstancie Uherská. At that time, the town was located on the so-called Haberska path. There was probably a fortified castle in the city, and the establishment of the marketplace in the area of today’s central square was dated to the end of the 13th century.
The town then belonged to the Lichtenburgs, the owners of the Bítov castle and estate, in 1498 Moravské Budějovice became a vassal town and received a coat of arms.