Vodice was first mentioned in 1402 although it was founded already in the Roman times as Arausa. Its name derives from the word meaning water sources which supplied the whole area. The defense walls from the times of the Turks with the Coric tower testify the past times. Other similar monuments are St. Cross' church on the former graveyard, built in 1421 and the parish church in the town centre built in 1746.
Vodice is a very popular tourist destination in Croatia, with most of the population oriented towards tourism and providing accommodation for visitors in hotels, apartments and houses.