Laugarvatn

Laugarvatn is a quietly remarkable village on Iceland's Golden Circle, set on the banks of a lake whose shores are gently heated by underground hot springs. It is the kind of place where visitors arrive expecting a quick stop and end up lingering — drawn in by steam rising off dark sand, the smell of fresh rye bread baked underground, and the calm of the water.

A Geothermally Alive Shoreline

The village takes its name from the lake itself — laugar means "hot spring" in Icelandic. Geothermal vents run beneath the lakebed, keeping parts of the shoreline warm year-round and preventing the lake from freezing over completely in winter. This has made the spot a gathering place for centuries; early Icelanders used the warm waters for bathing and, after the country's conversion to Christianity around the year 1000 AD, newly baptised Christians are said to have been christened in the lake's warm shallows.

What to See and Do

• Laugarvatn Fontana — The village's centrepiece, a geothermal spa built directly over hot springs. It offers outdoor mineral pools, steam rooms rising from natural geothermal vents, a Finnish-style sauna, and direct access to the cool lake for a bracing contrast dip.
• Geothermal Bakery — A daily highlight: traditional Icelandic rye bread (rúgbrauð) baked in pots buried in the geothermal ground overnight. Fontana runs tours so you can watch the loaves being unearthed and taste them warm.
• Lake Laugarvatn — Beyond the spa, the lake is popular for kayaking, fishing, and quiet walks along its shoreline.
• Laugarvatnsfjall — The hill rising above the village rewards those who climb it with sweeping views over the surrounding plains and lake.

Visiting Tips

• Laugarvatn sits roughly midway between Þingvellir National Park and the Geysir geothermal area, making it a natural pause on any Golden Circle loop.
• The spa tends to be quieter in the morning before bus tours arrive — worth keeping in mind if you prefer a calmer atmosphere.
• Bring a towel and swimwear; rental is available but having your own is more comfortable.
• In summer the lake is warm enough for a swim directly from the spa's jetty — a genuinely Icelandic experience.

On a Golden Circle Day Trip

Most Golden Circle tours pass through or near Laugarvatn, and it pairs especially well with a visit to Þingvellir (the historic parliament site) earlier in the day. After the explosive drama of Geysir and Gullfoss, a soak at Fontana is a wonderfully grounding way to wind down before heading back to Reykjavík. The nearby historic bishop's seat of Skálholt is also worth the short detour for anyone interested in Icelandic history.