The best area to stay in Iceland depends on what you want to see and do. If you're looking to see the Northern Lights, we recommend staying in a place with little light pollution. Westfjords and Snæfellsnes Peninsula are both great options.
If you want to experience Iceland's famous summer days, then you should stay in the capital city of Reykjavik. This way, you'll be able to enjoy all that the capital city has to offer, as well as easy access to Iceland's stunning scenery.
Fosshotel Glacier Lagoon is the perfect place to stay if you're looking for a luxury Iceland holiday. This hotel is located in Iceland's Vatnajökull National Park and offers stunning views of the surrounding glaciers.