South Bethany is an incorporated town in Sussex County, Delaware, United States. According to the 2010 census, the population of the town is 449, a decrease of 8.7% over the previous decade. It is part of the Salisbury, Maryland-Delaware Metropolitan Statistical Area.
South Bethany, its neighbor to the north, Bethany Beach, and its neighbor to the south, Fenwick Island are popularly known as "The Quiet Resorts". This is in contradistinction to the wild atmosphere of Dewey Beach and the cosmopolitan bustle of Rehoboth Beach. Assisting South Bethany's reputation as a "quiet" place is the presence of Delaware Seashore State Park to the north of Bethany Beach, a six mile-long barrier island providing a substantial buffer from Dewey Beach's noise. Serving as another buffer is a large unincorporated area of private condominiums and multi-million-dollar beach homes between the park and Bethany Beach.
The town was incorporated on June 18, 1969. It was formed as an unincorporated entity in 1952 when a Mr. and Mrs. Richard Hall purchased approximately from the Delaware Shore Land Corporation and named the development "South Bethany". By 1959, the development counted 500 property owners.
Unlike Bethany Beach, South Bethany is almost exclusively residential.