As of the census of 2000, there were 5,524 people, 2,290 households, and 1,470 families residing in the town. The population density was 1,197.6 people per square mile (462.7/km²). There were 2,568 housing units at an average density of 556.7/sq mi (215.1/km²). The racial makeup of the town was 52.21% African American, 45.76% White, 0.36% Native American, 0.81% Asian, 0.31% from other races, and 0.54% from two or more races. Hispanic or Latino of any race were 0.80% of the population.
There were 2,290 households out of which 31.0% had children under the age of 18 living with them, 35.4% were married couples living together, 25.1% had a female householder with no husband present, and 35.8% were non-families. 33.0% of all households were made up of individuals and 14.0% had someone living alone who was 65 years of age or older. The average household size was 2.32 and the average family size was 2.96.
In the town the population was spread out with 26.5% under the age of 18, 7.6% from 18 to 24, 24.4% from 25 to 44, 22.7% from 45 to 64, and 18.9% who were 65 years of age or older. The median age was 39 years. For every 100 females there were 78.7 males. For every 100 females age 18 and over, there were 70.7 males.
The median income for a household in the town was $21,897, and the median income for a family was $31,136. Males had a median income of $27,405 versus $22,003 for females. The per capita income for the town was $13,801. About 27.3% of families and 32.1% of the population were below the poverty line, including 43.1% of those under age 18 and 21.9% of those age 65 or over.
Cheraw is the center of an urban cluster with a total population of 9,069 (2000 census).