Lipid-anchored DNA can attach functional cargo to bilayer membranes in DNA nanotechnology, synthetic biology, and cell biology research. To optimize DNA anchoring, an understanding of DNA-membrane interaction in terms of binding strength, extent, and structural dynamics is required. Here we use experiments and molecular dynamics (MD) simulations to determine how membrane binding of cholesterol-modified DNA depends on electrostatic and steric factors involving lipid head-group charge, duplexed or single stranded DNA, and buffer composition. The experiments distinguish between free and membrane vesicle-bound DNA, and thereby reveal the surface density of anchored DNA and its binding affinity, something which had previously not been known. The Kd values range from 8.5 ± 4.9 to 466 ± 134 uM whereby negatively charged head-groups led to weak binding due to the electrostatic repulsion to the negatively charged DNA. Atomistic molecular dynamics simulations explain the findings and elucidate the dynamic nature of anchored DNA such as the mushroom-like conformation of single stranded DNA hovering over the bilayer surface in contrast to a straight-up conformation of double stranded DNA. The biophysical insight into binding strength to membranes as well as the molecular accessibility of DNA for hybridization to molecular cargo is expected to facilitate creating biomimetic DNA versions of natural membrane nanopores and cytoskeletons for research and nanobiotechnology.