Egilsstaðir
About Egilsstaðir
Egilsstaðir is the largest town in East Iceland with a population of around 2,500, situated on the banks of the Lagarfljót river. As the regional hub and home to the area's only domestic airport, it serves as the gateway to Iceland's remote and stunningly beautiful eastern region — a land of deep fjords, reindeer herds, and Iceland's largest forest.
The town itself is relatively modern, having grown mainly in the 20th century, but the surrounding area is rich with natural wonders. Lake Lagarfljót, Iceland's third largest lake, is home to the legendary Lagarfljótsormur — Iceland's answer to the Loch Ness Monster. East Iceland's dramatic landscape of fjords, mountains, and valleys remains one of the country's best-kept secrets.
Useful links:
Quick Tips
- Currency: Icelandic Króna (ISK). Cards accepted everywhere in town. Carry some cash for very remote areas in the East Fjords.
- Transport: Egilsstaðir is about 7 hours from Reykjavik by car via Route 1, or a 1-hour domestic flight. A rental car is essential for exploring the surrounding fjords and highlands.
- Tipping: Not expected in Iceland. Service is included in all prices.
- Reindeer: East Iceland is the only part of the country where you can see wild reindeer. Originally introduced from Norway in the 18th century, herds of up to 3,000 animals roam the highlands and can sometimes be spotted from the road.
- Seyðisfjörður Ferry: The Smyril Line ferry from Denmark and the Faroe Islands arrives in Seyðisfjörður, just 25 minutes from Egilsstaðir. A scenic way to arrive in Iceland with your own car.
Interesting Places to Visit
Seyðisfjörður
A stunningly picturesque fjord town just 25 minutes from Egilsstaðir, famous for its rainbow-painted street leading to the blue church (Seyðisfjarðarkirkja). A vibrant arts community, creative workshops, and one of Iceland's most Instagram-worthy streetscapes.
Lake Lagarfljót
A 25-km-long glacial lake stretching south from Egilsstaðir, home to the legendary Lagarfljótsormur serpent. Drive the scenic Route 931 along the eastern shore through Hallormsstaðaskógur forest. Beautiful for walks and picnics.
Hallormsstaðaskógur National Forest
Iceland's largest forest — though by Icelandic standards, that means birch trees up to 12 meters tall. Over 80 tree species from around the world have been planted here. Well-marked hiking trails wind through the forest along the lake shore. A uniquely peaceful place.
Hengifoss
Iceland's third-highest waterfall at 128 meters, featuring dramatic red and black striped basalt layers in the cliff face. A moderate 2.5 km hike each way from the parking area. On the way up, you'll pass the smaller but beautiful Litlanesfoss with its hexagonal basalt column frame.
Borgarfjörður eystri
A remote village about 70 km from Egilsstaðir with one of Iceland's best puffin-watching platforms. The colony at Hafnarhólmi allows you to get incredibly close to nesting puffins from June to mid-August. Also the starting point of several spectacular highland hiking trails.
Stuðlagil Canyon
A jaw-dropping basalt column canyon with vivid turquoise glacial water flowing through towering hexagonal pillars. One of Iceland's most spectacular recent discoveries — only revealed when a hydropower dam reduced water levels. About 45 minutes from Egilsstaðir.
Vök Baths
Modern geothermal floating pools on the shore of Lake Urriðavatn, just 5 minutes from Egilsstaðir. The infinity pools offer stunning lake and mountain views. A serene, less touristy alternative to the Blue Lagoon with naturally heated water.
When to Visit
East Iceland has a more continental climate than the west coast, with drier conditions but colder winters:
🌸 Spring (April – May)
Warming up (2–10°C) with melting snow and lengthening days. Reindeer herds move to lower elevations. The forest begins to green up and migratory birds return. Some highland roads may still be closed.
- Reindeer visible at lower elevations
- Hengifoss at peak flow from snowmelt
- Fewer tourists — peaceful exploration
☀️ Summer (June – August)
The best season (10–15°C) with midnight sun and all roads open. Puffins nesting at Borgarfjörður eystri. The ferry connects to Europe. Best conditions for hiking and exploring the fjords.
- Midnight sun — continuous daylight
- Puffins at Borgarfjörður eystri (Jun – Aug)
- Bræðslan music festival in Borgarfjörður
🍂 Autumn (September – October)
Cooling down (1–8°C) with beautiful fall colors in Hallormsstaðaskógur — one of Iceland's best spots for autumn foliage. Northern Lights return. Reindeer begin their rut.
- Stunning autumn colors in the forest
- Northern Lights visible on clear nights
- Wild reindeer rut season
❄️ Winter (November – March)
Cold (−5 to 2°C) with snow and short days. Some roads close but Egilsstaðir remains accessible. A quiet, remote winter experience with excellent Northern Lights viewing away from light pollution.
- Northern Lights in very dark skies
- Vök Baths in the snow
- Cross-country skiing in the forest
Where to Eat (Affordable & Good)
Egilsstaðir's dining options are modest but include some real gems, plus excellent restaurants in nearby Seyðisfjörður:
Salt Café & Bistro$ – $$
A popular café and bistro in the town center serving soups, sandwiches, burgers, and daily specials. Excellent coffee and homemade cakes. A reliable, affordable option. Mains from 2,200–3,500 ISK (~€15–24).
Skálinn Diner$
A classic roadside diner serving burgers, hot dogs, fish and chips, and milkshakes. No-frills, generous portions, and some of the most affordable food in the area. A full meal from 1,800–2,500 ISK (~€12–17).
Café Egilsstaðir (Gistihúsið)$ – $$
A welcoming café in the guesthouse serving Icelandic home cooking, soups, and fresh-baked bread. The lamb soup is a highlight. A warm, homey atmosphere. Mains from 2,500–3,500 ISK (~€17–24).
Nordic Restaurant (Hótel Egilsstaðir)$$
The hotel's restaurant overlooking Lake Lagarfljót serves refined Icelandic cuisine with local ingredients including reindeer, arctic char, and wild herbs. Mains from 3,500–5,500 ISK (~€24–38). Lovely lakeside setting.
Norð Austur Sushi & Bar (Seyðisfjörður)$$
Worth the 25-minute drive to Seyðisfjörður for some of Iceland's best sushi. Fresh local fish prepared with Japanese precision. Creative rolls and a cozy atmosphere. Mains from 3,000–4,500 ISK (~€21–31).
Kaffi Lára – El Grillo Bar (Seyðisfjörður)$ – $$
A beloved café-bar in Seyðisfjörður with a bohemian atmosphere, live music, and a menu of soups, sandwiches, and cakes. The cultural heart of the fjord town. Light meals from 2,000–3,000 ISK (~€14–21).
Klausturkaffi (Skriðuklaustur)$
A charming café at the historic Skriðuklaustur manor on the shores of Lagarfljót. Famous for its traditional Icelandic cake buffet — an all-you-can-eat spread of homemade cakes and pastries. Around 2,000 ISK (~€14).