Why You Should Visit Seyðisfjörður, Iceland

Where is Seyðisfjörður?

Seyðisfjörður is a picturesque town located in East Iceland, nestled at the end of a deep fjord of the same name. It is surrounded by stunning mountains and beautiful waterfalls, making it one of Iceland’s most scenic destinations. The town is known for its colorful wooden houses, vibrant arts scene, and its famous Rainbow Street leading to a blue church.

Although not directly on Iceland’s Ring Road (Route 1), the town of Seydisfjordur is one of the most rewarding detours for travelers making the iconic loop around the country. Located just 27 km (17 miles) from Egilsstaðir, the largest town in East Iceland, this scenic fjord town is accessible via Route 93, which winds over the Fjarðarheiði Mountain Pass—a breathtaking drive offering panoramic views of the surrounding mountains and valleys.

From there, travelers can reach Akureyri, North Iceland’s largest city, in about 3.5 to 4 hours (265 km). The journey to Reykjavík, the capital, covers 680 km and takes approximately 8 to 9 hours. Heading south, Höfn is 260 km (3.5 hours) away, while the popular coastal village of Vík í Mýrdal is a 500 km (6.5 to 7-hour) drive. 

Other notable stops include Húsavík, Iceland’s whale-watching capital, at 315 km (4.5 hours), and the geothermal wonderland of Mývatn, which is 190 km (2.5 to 3 hours)away. Travelers should note that winter conditions can make the mountain pass to Seyðisfjörður challenging, so checking road updates is crucial before making the trip.

The Town of Seyðisfjörður

With a population of just 700 residents, Seyðisfjörður defies its small size by sustaining a dynamic arts scene, featuring seasonal festivals, artist residencies, and installations set high in the surrounding hills. The town’s extensive network of walking trails offers access to Tvísöngur, a notable mountainside sound sculpture, as well as routes along the Fjarðará River, the fjord’s shoreline, and into the rugged highlands. These trails lead to untouched waterfalls and expansive panoramic views, reinforcing Seyðisfjörður’s reputation as both a cultural and natural landmark in East Iceland.

Seyðisfjörður traces its origins back to the early 19th century, when Norwegian fishermen established a settlement in the fjord. The town quickly grew into one of Iceland’s most important trading hubs, playing a key role in the country’s economic development. Many of the well-preserved Norwegian-style timber houses that line the streets today date back to this period, giving Seyðisfjörður a unique architectural character rarely found elsewhere in Iceland.

The town also has deep ties to Iceland’s wartime history. During World War II, Seyðisfjörður became a strategic base for Allied forces, and remnants of old military structures can still be seen in the area. Today, visitors can learn more about the town’s rich past at the Seyðisfjörður Technical Museum, which showcases the evolution of local industries, including fishing, telecommunications, and commerce.

Seyðisfjörður is backdropped by the majestic Mt. Bjólfur, a towering peak rising to approximately 1,085 meters (3,560 feet). This striking mountain dominates the skyline, adding to the town’s dramatic fjord setting. 

A popular destination for hiking and backcountry skiing, Mt. Bjólfur offers breathtaking panoramic views over Seyðisfjörður, the fjord, and the surrounding valleys. During winter, its slopes are often covered in deep snow, making it a favorite among adventure seekers, while summer hikers can enjoy scenic trails that lead to high ridges and hidden waterfalls.

Is Seydisfjordur Worth A Visit

I visited Seyðisfjörður one summer, and the experience was nothing short of magical. Under the bright sunshine, the town’s vibrant wooden houses cast playful shadows, their colors blending seamlessly with the surrounding fjord and mountains. 

The beauty of the landscape made the visit truly unforgettable. At times, I even imagined what it would be like to live there—a place where life feels like a dream, away from the world’s noise yet full of quiet vibrancy; remote yet warm and welcoming; secluded yet deeply connected to nature. Seyðisfjörður embodies that perfect balance. 

It reminded me of the ancient Chinese prose by Tao Yuanming, 桃花源 (Táohuā Yuán), known in English as The Peach Blossom Spring—a hidden paradise untouched by time, much like A picture-perfect paradise.

Seyðisfjörður is worth a visit for its unparalleled blend of colorful charm and dramatic Icelandic landscapes, creating a setting that feels almost surreal. Located between towering mountains and the deep east fjord of Iceland, this picturesque town offers a rich traditional Icelandic cultural scene, with vibrant art galleries, cozy cafés, and the famous Rainbow Road leading to its iconic Blue Church. 

On that beautiful day, we spent hours exploring the charming surroundings of the town center’s pond, where many of Seyðisfjörður’s most beloved attractions are nestled. Strolling along the lively Rainbow Road, we soaked in the town’s creative spirit, passing inviting cafés and unique galleries. At one end of the road, the elegant Blue Church stands gracefully, framed by towering mountain slopes beneath the vast Icelandic sky—a scene so breathtaking, it feels almost unreal. 

Views like this exist only in Seydisfjordur, Iceland.

 Whether you’re drawn by its breathtaking natural beauty, peaceful atmosphere, or outdoor adventures, Seyðisfjörður is a destination that feels like stepping into a fairy tale.

Seyðisfjörður is a place where vibrant charm meets rugged beauty. The town’s colorful wooden houses, painted in shades of blue, red, yellow, and green, stand in striking contrast against the dramatic Icelandic mountains that rise steeply in the background. 

This unique blend of human craftsmanship and untouched nature creates a storybook-like atmosphere, where every view feels like a painting. Whether bathed in the golden glow of the midnight sun or dusted with fresh winter snow, Seyðisfjörður’s scenic harmony of color and landscape makes it one of Iceland’s most breathtaking fjord towns.

Seyðisfjörður As A Cruise Ship Port

Seyðisfjörður is a key port in the Eastern Region of Iceland, welcoming both large cruise ships and the MS Norröna ferry, which connects Iceland to Denmark and the Faroe Islands. 

Found at the end of a deep fjord, the town offers a spectacular arrival experience as ships sail past towering mountains and cascading waterfalls before docking at its small but well-equipped harbor. 

As one of Iceland’s most scenic and strategically located cruise ports, it attracts thousands of visitors each year, particularly between May and September when Arctic and North Atlantic cruise itineraries take advantage of Iceland’s best weather. Seyðisfjörður is easily accessible via Route 93, which crosses the Fjarðarheiði Pass from Egilsstaðir, just 27 km (17 miles) away. Seyðisfjörður is one of the most popular starting points for cruise ship tours.

Seyðisfjörður Cruise Ship Facilities and Services

The Seyðisfjörður port is capable of accommodating large cruise ships, with docking facilities conveniently located near the town center. Passengers can easily walk from the port to key attractions, making it one of the most accessible cruise stops in Iceland. The town offers essential services such as tourist information, local guides, transportation options, and shore excursion tours that take visitors deeper into East Iceland’s landscapes.

Top Experiences for Travelers in Seyðisfjörður

Seyðisfjörður is renowned for its colorful wooden buildings, vibrant arts scene, and the famous Rainbow Street leading to the Blue Seydisfjordur Church. Beyond the town, visitors can explore:

Just a short drive from town, Gufufoss Waterfall offers a breathtaking sight, resembling a smaller version of the famous Skógafoss. Its powerful cascade and serene surroundings make it a perfect quick stop for nature lovers and photographers.

For those seeking wildlife and untouched landscapes, Skálanes Nature Reserve is a must-visit. This remote sanctuary is home to diverse bird species, Arctic foxes, and stunning coastal views, making it a paradise for birdwatchers and hikers alike.

Seyðisfjörður also boasts several scenic hiking trails, leading visitors through lush valleys, up mountain ridges, and along the fjord, offering panoramic views of the dramatic Icelandic landscape. Whether you’re looking for a leisurely walk or a more challenging trek, there’s a route for everyone.

Beyond nature, the town is known for its vibrant arts and cultural scene. Local art galleries, cozy cafes, and small museums showcase the creative spirit of Seyðisfjörður, where visitors can immerse themselves in Icelandic history, craftsmanship, and contemporary art.

First held in 2000, the LungA Art Festival has been a cornerstone of Seyðisfjörður’s vibrant arts scene, bringing together artists, musicians, and creatives from around the world. After 25 years of inspiring workshops, performances, and exhibitions, the festival will hold its final edition from July 15-21, 2024, marking the end of an era. Known for transforming the town into a hub of artistic expression, LungA has left an indelible mark on the community, solidifying Seyðisfjörður’s reputation as a cultural haven in East Iceland.

The Fjarðarsel Power Plant Museum in Seyðisfjörður is Iceland’s first hydroelectric power plant, built in 1913, and is still in operation today. This small but historically significant museum offers visitors a glimpse into Iceland’s early advancements in renewable energy, showcasing original machinery and demonstrating how hydropower has played a crucial role in the country’s development.

Seyðisfjörður’s Nearby Attractions

Seyðisfjörður’s location makes it a perfect base for exploring East Iceland’s stunning landscapes, waterfalls, and cultural sites. From puffin-filled cliffs to geothermal baths and majestic canyons, here are some must-visit spots nearby.

Borgarfjörður Eystri

This remote village is one of Iceland’s best places to see puffins, with the Hafnarhólmi viewing platform offering close-up encounters between May and August. The town also has deep ties to folklore, with Álfaborg (Elf Rock)believed to be home to the queen of Icelandic elves.

Stuðlagil Canyon

A must-see for geology lovers, Stuðlagil Canyon is lined with towering basalt columns and a turquoise glacial river. The east-side viewing platform offers a breathtaking panorama, while a shorter hike provides an up-close look at this natural wonder.

Vök Baths

Located by Lake Urriðavatn, Vök Baths features floating infinity pools filled with naturally warm, mineral-rich water. It’s a perfect stop for relaxation and stunning lake views after a day of exploring.

Hengifoss & Litlanesfoss Waterfalls

At 128 meters (420 feet), Hengifoss is one of Iceland’s tallest waterfalls, famous for its red clay layers. Along the 2-hour round-trip hike, you’ll also pass Litlanesfoss, a 30-meter (98-foot) waterfall framed by hexagonal basalt columns.

Egilsstaðir

The largest town in East Iceland, Egilsstaðir is the region’s transportation hub and home to the legendary Lagarfljót Wyrm, Iceland’s version of the Loch Ness Monster. It’s also a starting point for exploring nearby Hengifoss, Vök Baths, and Stuðlagil Canyon.

Djúpivogur

This tranquil East Fjords fishing village is known for birdwatching and creative landmarks, including Eggin í Gleðivík, an art installation featuring 34 granite bird eggs. Djupivogur‘s peaceful harbor and scenic coastline make it a great Ring Road stop.

Rjúkandi & Gufufoss Waterfalls

Rjúkandi Waterfall (93 meters / 305 feet) is an easily accessible, multi-tiered cascade just off Route 1.

Gufufoss (27 meters / 89 feet) is the largest waterfall in the Seyðisfjörður valley, with a wide, curtain-like flow reminiscent of Skógafoss.

With so many breathtaking landscapes and cultural gems nearby, Seyðisfjörður is a perfect base for exploring East Iceland. Whether it’s puffin watching, canyon hiking, or soaking in geothermal waters, every journey from this charming fjord town leads to an unforgettable adventure.

Best One-Day Road Trips from Seyðisfjörður

Stuðlagil Canyon & Waterfall Adventure

This scenic day trip from Seyðisfjörður takes you through Fjarðarheiði Pass to Egilsstaðir, offering breathtaking mountain views along the way. The first stop is Rjúkandi Waterfall, a beautiful roadside cascade perfect for a quick break. From there, continue to Stuðlagil Canyon, where the east-side viewing platform provides stunning panoramic views of the basalt columns and glacial river. On the way back, make a final stop at Gufufoss Waterfall, a picturesque cascade just before returning to Seyðisfjörður, where you can end the day at a cozy café in town.

The East Fjords Coastal Drive

This scenic drive along Iceland’s East Fjords takes you through charming fishing villages and dramatic coastal landscapes. Start in Fáskrúðsfjörður, known for its French heritage and picturesque harbor, before heading to Stöðvarfjörður to visit Petra’s Stone Collection, a unique display of Icelandic minerals. Continue to Djúpivogur, a peaceful village home to the famous Eggin í Gleðivík sculpture installation. The return journey to Seyðisfjörður offers breathtaking fjord views, making this a perfect day of coastal exploration.

Hengifoss and Litlanesfoss Waterfalls Hike & Vök Baths

For those seeking wilderness and waterfalls, a trip to Hengifoss & Litlanesfoss offers a perfect escape into Iceland’s untamed landscapes. The route first passes through Egilsstaðir, where you can stop for breakfast or coffee before heading toward Hengifoss, one of Iceland’s tallest waterfalls. The 2-hour round-trip hike takes you past Litlanesfoss, a striking basalt-column waterfall, before reaching Hengifoss, where red clay layers give the cascade its unique appearance.

After the hike, unwind at Vök Baths, a serene geothermal spa on Lake Urriðavatn, known for its naturally warm, mineral-rich floating pools. The return journey to Seyðisfjörður provides spectacular mountain and fjord views, ending the day on a relaxing and refreshing note.

Borgarfjörður Eystri & Puffin Watching Tour

This scenic day trip takes you from Seyðisfjörður to Borgarfjörður Eystri, one of Iceland’s best spots for puffin watching. After passing through Egilsstaðir, continue to Hafnarhólmi, where thousands of puffins nest between May and August, offering incredible close-up views from a dedicated platform. Explore the charming village of Bakkagerði, visit Álfaborg (Elf Rock), and enjoy a meal at Álfacafé before heading back. End the trip with a stop at Gufufoss, a beautiful waterfall near Seyðisfjörður, before returning to town.

Why You Need to Visit Seyðisfjörður in East Iceland

Seyðisfjörður is one of Iceland’s most breathtaking fjord towns, where colorful wooden houses, a vibrant arts scene, and the famous Rainbow Road contrast beautifully against towering mountains and a deep, scenic fjord. 

Surrounded by cascading waterfalls and dramatic landscapes, it offers unforgettable outdoor adventures, from hiking and hot springs to must-see attractions like Stuðlagil Canyon and puffin-filled Borgarfjörður Eystri. 

Whether you’re drawn to culture, nature, or the tranquility of a remote fjord escape, Seyðisfjörður is a destination that feels truly magical.