Kyongju was always considered to be a good place to live. A wide valley surrounded by mountains and a stream running through the center made it a hospitable and lovely environment. It was the only capital of the Silla Kingdom until it was annexed by the Koryo Dynasty in 992. Up until then Silla was the first kingdom to unite the various nation states into one country. In 527, the 14th year of King Pophung, Buddhism was officially adopted as the state religion leading to a flowering of Buddhist art and culture.

In Samguk Yusa, ("The Memorabilia of the Three Kingdoms"), Kyongju is described as having "as many temples as there are stars in the sky and pagodas stretching out in lines like a flock of wild geese in flight."

The first notable things that one sees in Kyongju are the little rounded tombs that rise up like small hills. These are the tombs of Silla royalty and aristocrats, the largest being 120m in diameter and 23m high. At the eastern end of Kyongju at the foot of Mt. Toham lies Pulkuksa Temple, one of the city's most famous attractions. Built 1200 years ago during the reign of King Kyongdok, the name of the temple means "the world of Buddha built in the world of man."

In a stone cave at the top of Mt. Toham is another famous site, the Sokkuram Grotto. Mt. Toham was an important strategic military post for Silla and the Sokkuram cave temple was built there as a symbol of Buddha's protection of the nation. Sokkuram and Pulkuksa have all been included in the World Heritage List.

Forming the southern boundary of Kyongju is Mt. Nam, which is a huge historic site in its own right. Rising 494m above sea level, Mt. Nam is a place that bears witness to all the most important events of Silla, including the foundation of the nation and its demise in Posukjong. The mountain is a veritable outdoor museum filled with an abundance of Buddhist relics including some 100 temple sites, 80 Buddhist figures and 60 stone pagodas.