Dynnyrne was gazetted as a locality in 1970. The suburb is named for Dynnyrne House in South Hobart, which was built by Robert William Murray (1777–1850) who claimed to be descended from Sir William Murray,
1st baronet of Dunearn in Scotland. Members of the public had been invited to suggest names for the suburb in 1940. About eighty different suggestions were received and six of them were forwarded to the Post Office for consideration. Cooloola, Illawarra, Karinga, Telopea, Rosslyn and Pambula were all rejected on the basis that they exactly or closely duplicated names already used in Australia. Following further consultation with the Post Office, Dynnyrne was chosen, recalling the first house built in the area about one hundred years earlier. One of the Hobart City Council aldermen warned that people would have difficulty spelling Dynnyrne but the new name was adopted. ==Geography==