Falls are one of the main reasons for mortality and morbidity in older adults. However, despite adoption of prevention strategies, the number of falls in older adults has not declined. This study aimed to develop a questionnaire to assess fall prevention knowledge and explore associated factors among Chinese community-dwelling older adults. The Home-Based Fall Prevention Knowledge (HFPK) questionnaire was developed by Delphi expert consultation. We tested the internal consistency, reliability, and content validity of the HFPK. A total of 374 community-dwelling older adults participated in this study. The HFPK was used to assess their fall prevention knowledge. After being evaluated by 15 experts, the item content validity index ranged from 0.867 to 1, and the scale content validity index was 0.985, which met the criterion for content validity. Cronbach’s α coefficient was 0.933, which satisfied the reliability criterion. Stepwise linear regression analysis showed that fall prevention knowledge was significantly associated with having higher education, being female, having a higher monthly income, people who were public officials before retirement, and having fewer children (p < 0.05). Fall prevention knowledge should be improved among older males and those with lower education, lower monthly income, people who were not public officials before retirement, and more children.