Steinheil was born in Hapsal, Estonia. His father's family was from region of Upper Rhine in Germany (where they had been burghers and officials of their hometowns); and his mother was from a cadet branch of the ancient Baltic House of Tiesenhausen, daughter of nobleman Fromhold Fabian Tiesenhausen, lord of Orina in Estonia. Stenheil's uncle and father had received a baronial title from the imperial authorities. He remained in Finland and died in Helsinki 1831.