Laugarvatn, Iceland

This town is famous for the hot spring Vígðalaug. It was the site of early Christian baptisms. Laugarvatn is a popular summer vacation place for Icelanders and also home of two large schools, which operate as hotels in the summer.

You can rent a boat and head out on the lake or take a short hike up to the viewpoint of Hringsjá, located between the lake and the Laugarvatnsfjall Mountain. If you like the outdoors, there are some great camping and hiking opportunities in the woods north of the lake. Laugarvatn is located west of Þingvellir.