Aim The present study investigated the relationship between fear of falling and functional status, and sociodemographic and health‐related factors in nursing home residents aged older than 65 years. Methods The cross‐sectional study involved 100 participants who were residents of a nursing home and aged older than 65 years. Fear of falling was assessed using the Falls Efficacy Scale. Functional status was assessed by four performance‐based measures. Balance was assessed by the Berg Balance Scale, mobility by the Timed Up and Go test, lower limbs muscle strength by the Chair Rising Test and participants’ functional ability by the motor Functional Independence Measure. Results There was a significant negative correlation between the Falls Efficacy Scale and Berg Balance Scale (P < 0.001), and motor Functional Independence Measure (P < 0.001) scores; and a positive correlation with the Timed Up and Go test (P < 0.001) and Chair Rising Test (P < 0.001) values. Falls Efficacy Scale score increase is associated with age, being a widower/widow and the number of falls in the previous year. Higher fear of falling is associated with an increase in the number of falls in the previous year and with a decrease in Berg Balance Scale score. Conclusions The study found a significant associations between Falls Efficacy Scale score and all of the examined parameters of functional status, the number of falls in the previous year, age and marital status of widower/widow. The major finding was that poor balance and an increase in the number of falls in the previous year are independent factors significantly associated with the fear of falling. Geriatr Gerontol Int 2016; ••: ••–••.