> We booked a hostel in Reykjavik for the whole trip. This was, without a doubt, the biggest mistake we made. It would have been a much better idea to drive around the whole island staying in a different place each night. (Iceland’s main highway goes around the edge of the country in a loop.)

This is what my wife and I did a couple of years ago and I highly recommend it. It took us 5 days to circumnavigate the country.