Hótel Buðir

Windswept and on a gorgeous, remote coastline, Hótel Buðir tries to be stylish, though it's besieged by tour groups and prices are stiff for what you get. Room 28 has the best views (and a teeny balcony). The restaurant (mains 4700kr to 6000kr) is sometimes closed to those not in prebooked tour groups.