General John Cummings, agent for the trustees of Belfast Academy, is thought to have been the first white settler of the area. He arrived on October 8, 1826. Ludlow was incorporated on March 21, 1864 from Belfast Academy Grant Plantation, which was itself organized in 1840.
Ludlow occupies one half of a township, with New Limerick occupying the other half, and is located just west of the northern part of Houlton.