Vassar was founded by four men who were led by James M. Edmunds and Townsend North in search of an area to build a dam and start a city. The city was named after Edmund's uncle, Matthew Vassar, who later founded Vassar College. It was the first county seat of Tuscola County. In 1860, the seat was moved to Caro. Vassar's growth for the next thirty years was based mainly on its lumbering and a handful of related industries.
As of the census of 2010, there were 2,697 people, 1,001 households, and 668 families living in the city. The population density was. There were 1,154 housing units at an average density of. The racial makeup of the city was 87.4% White, 8.8% African American, 0.4% Native American, 0.1% Asian, 1.1% from other races, and 2.2% from two or more races. Hispanic or Latino of any race were 3.0% of the population. There were 1,001 households of which 35.3% had children under the age of 18 living with them, 45.4% were married couplesliving together, 16.2% had a female householder with no husband present, 5.2% had a male householder with no wife present, and 33.3% were non-families. 28.2% of all households were made up of individuals and 11.2% had someone living alone who was 65 years of age or older. The average household size was 2.47 and the average family size was 2.99. The median age in the city was 32.5 years. 31.6% of residents were under the age of 18; 9% were between the ages of 18 and 24; 23% were from 25 to 44; 24.5% were from 45 to 64; and 11.8% were 65 years of age or older. The gender makeup of the city was 49.8% male and 50.2% female.
2000 census
As of the census of 2000, there were 2,823 people, 991 households, and 676 families living in the city. The population density was 1,266.2 per square mile. There were 1,062 housing units at an average density of 476.3 per square mile. The racial makeup of the city was 88.42% White, 8.25% African American, 0.21% Native American, 0.21% Asian, 1.35% from other races, and 1.56% from two or more races. Hispanic or Latino of any race were 2.94% of the population. There were 991 households out of which 34.0% had children under the age of 18 living with them, 51.2% were married couples living together, 12.9% had a female householder with no husband present, and 31.7% were non-families. 28.8% of all households were made up of individuals and 12.6% had someone living alone who was 65 years of age or older. The average household size was 2.55 and the average family size was 3.14. In the city, the population was spread out with 34.2% under the age of 18, 8.9% from 18 to 24, 26.4% from 25 to 44, 18.6% from 45 to 64, and 11.9% who were 65 years of age or older. The median age was 30 years. For every 100 females, there were 106.5 males. For every 100 females age 18 and over, there were 83.9 males. The median income for a household in the city was $38,087, and the median income for a family was $44,924. Males had a median income of $32,045 versus $22,305 for females. The per capita income for the city was $15,029. About 6.3% of families and 9.2% of the population were below the poverty line, including 11.8% of those under age 18 and 7.0% of those age 65 or over.
