Grace is derived from gratia, the Latin word for "grace." It existed as Gracia in the Middle Ages but was not in common use until the Puritans adopted it along with other Christian attribute names in the sixteenth century. It was used as a virtue name, in reference to divine grace — the love and kindness of God.
Who would have thought such a simple and pure virtue name as Grace, which originally referred to divine grace, could ever become trendy? Because that's what Grace is, chosen by celebrities such as Mark Wahlberg, Ed Burns, and Christy Turlington.
Grace is one of the most luminous of names, recalling the cool elegance of Grace Kelly, Princess of Monaco. Embraced by Americans of the Victorian era, it was the eleventh most popular name in this country in 1875.
Grace is currently even more popular in other countries than it is here — it's ranked highly in Northern Ireland, Ireland, England and Wales, Australia, Scotland, and Canada.
If Grace is too overused for you, consider an international variation like Engracia or Graziella. Some parents have even migrated into the boys' camp in search of Grace equivalents such as Gray or Grayson. Choosing the nickname Gracie for the birth certificate is a popular option.