The Awasthis used to reside in the ancient land of Awadh. Awasthi
Brahmins belong to sage Upamanyu Gotra, and Sage Upamanyus, along with sages
like Vishisht, Kundin, Parashara and
Jatukaraniya followed the school of (thought) of sage Vasistha. They were also
indoctrinated in the school of thought of sage Vashist. The surname Awasthi is
likely to be shortened from the derivative of ‘Awadh-Vashist’. The mother
tongue of the caste of Awasthi is Avadhi, which is also
regarded as an Indo-Aryan
language and is almost similar to the Hindi language. The Avadhi language is
also the language in which the far-famed epic Sri Ramacharit Manas was composed
by the great playwright and poet Tulsi Das.

Since the Vedic period, Awasthi
Brahmins have always excelled in intellectual and martial pursuits. Like most
of the Brahmins of North-India do not entertain consanguineous marriages, the
Awasthi Brahmins also do not entertain this type of matrimonial alliances,
which is in much vogue in some social groups in the other parts of the Indian
subcontinent. Most of the Awasthi Brahmins are confined within the region of
Awadh but with the progress of time they are moving out and settling in other
areas. This sub-caste is sometimes mistakenly thought to belong to the caste of
Kayastha, which have some similar surrounding surnames like Asthana and
Ambastha.
Awasthi Brahmins who have been living in the Malwa region of
Madhya Pradesh are mostly Shandhya Brahmins. According to ancient historical
record, most of the Awasthi families spreading all over in Madhya Pradesh, have
originally migrated from Rajasthan. The presence of famous Awasthi ji ki Bawadi
and Sati chaura located at the historical town of Shahabad in Baran district of Rajasthan stand as proof.
The place is considered as the "Pahala Khera" or the most sacred
place of Shandhya Awasthi Brahmin. Later some Awathi families have migrated to
different parts of Nepal.