Originally settled in 1896, Jordan received a post office on July 11, 1899. The founder, Arthur Jordan, had hunted the area a great deal and in 1896 decided to bring his family here to settle along the banks of the Big Dry Creek.
Before very long a town began to spring up around the post office. There were saloons, rooming houses, livery stables, blacksmiths and stores. In the later part of the 1910s the homestead boom hit Garfield County, which was then actually part of Dawson County to the east. By 1919, it became the consensus of many locals that they needed to form a county of their own and Garfield County was established. After much ado by competing towns in the area, Jordan was finally chosen as the county seat, by popular vote.
Jordan was incorporated as a town in 1951.
On March 25, 1996 an 81-day-long standoff between the antigovernment Montana Freemen and federal officers began near here.