Amphibian declines are a global phenomenon but responses of populations to specific threats are often context dependent and mediated by individual physiological condition. Habitat degradation due to reduced riparian forest cover and parasitism are two threats facing the hellbender salamander (Cryptobranchus alleganiensis), but their potential to interact in nature remains largely unexplored. We investigated associations between forest cover, parasitic infection and physiology of hellbenders to test the hypotheses that physiological condition responds to infection and/or habitat degradation. We sampled 17 stream reaches in southwest Virginia, USA, on a year-round basis from 2013 to 2016 and recorded 841 captures of 405 unique hellbenders. At each capture we documented prevalence of two blood-associated parasites (a leech and trypanosome) and quantified up to three physiological condition indices (body condition, hematocrit, white blood cell [WBC] differentials). We used generalized linear mixed models to describe spatiotemporal variation in parasitic infection and each condition index. In general, living in the most heavily forested stream reaches, where hellbender density was highest, was associated with the greatest risk of parasitism, elevated neutrophil-to-lymphocyte (N:L) ratios and eosinophils, slightly lower hematocrit and lower mean body condition in hellbenders. All condition indices fluctuated temporally in a manner consistent with seasonal variation in hellbender metabolic demands and breeding phenology and were associated with land use during at least part of the year. Paradoxically, relatively low levels of forest cover appeared to confer a potential advantage to individuals in the form of release from parasites and improved body condition. Despite improved body condition, individuals from less forested areas failed to exhibit fluctuating body condition in response to spawning, which was typical in hellbenders from more forested habitats. We postulate this lack of fluctuation could be due to reduced conspecific competition or reproductive investment and/or high rates of filial cannibalism in response to declining forest cover.