Clearwater is an unincorporated community in Franklin County, Texas, United States. The community was named for the clear waters in the nearby Cypress Creek. White settlers arrived in the 1860s, but the community itself did not appear until the next decade. There was a sawmill, a gin, a store, and a church in the community in the 1930s. It…Clearwater is an unincorporated community in Franklin County, Texas, United States. The community was named for the clear waters in the nearby Cypress Creek. White settlers arrived in the 1860s, but the community itself did not appear until the next decade. There was a sawmill, a gin, a store, and a church in the community in the 1930s. Its population was 25 in 1933, which grew to 50 by 1945. The community had a church, a cemetery, and several scattered homes in 1985.