In the Middle Ages Chotyně used to be a typical farming village. It was probably founded by German colonists who were invited to a sparsely populated region by the Přemyslids in the 13th century.

Chotyně is known for its strong iron spring which is beige-tinted. A small spa was built around the spring which offered its services in the period from 1890 to 1926. Nowadays Chotyně is an ideal place for a peaceful holiday and excellent starting point for excursions to Lužické hory.