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Destination Daydreamer

the faroe islands
Europe, Family Adventure Destinations, Family Travel Guides, Faroe Islands
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Updated on November 2nd, 2025

4 Stunning Places To Stay in The Faroe Islands: We’ve Stayed at Two of Them!

When we traveled to the Faroe Islands, we stayed in two absolutely amazing places: Mulafossur Cottages and a colorful boathouse in Leirvik with a hot tub.

I planned our entire trip around the availability of these two places and I’m so glad I did. Now that we’ve returned home, when I think of the Faroe Islands, the first things I think of are where we stayed- they were that memorable!

*There are affiliate links in this post.  Read my privacy/disclosure policy to learn more.

While I was planning our trip, I came across the listing for Mulafossur Cottages and knew we had to stay there. My husband and I even said that if they were booked up when we could travel, we would just postpone our trip to the next year.

Needless to say, we booked it, we stayed there and IT WAS AMAZING.

For our second accommodations, we really wanted a hot tub. The whole fam loves piling into a cozy hot tub at the end of the day and I was determined to find one. It was shockingly more difficult to find than I expected, but once I found this colorful, modern boathouse with a hot tub I knew we needed to stay there.

This guide is to give you all the details about the two amazing places we stayed in the Faroe Islands plus another beautiful cottage we highly considered and a waterfront hotel in Torshavn.

Long story short- click on the buttons below to check current prices of the two picturesque places we stayed in the Faroe Islands.

Woman and child stand in front of grass-roofed, wooden cottage in the Faroe Islands: an amazing place to stay
Mulafossur Cottages
check out our favorite place #1
Young family sit in wooden hot tub in front of colorful boat houses in the Faroe Islands- perfect if you're wondering where to stay in the Faroe Islands
Colorful boathouse with hot tub
check out our favorite place #2
✈️OUR FAROE ISLANDS FAVORITES✈️


WHERE WE STAYED:


😍 Mulafossur Cottages:Absolutely stunning cottages in a remote valley surrounded by epic mountains and a nearby stream for playing. Only a 15-minute walk to Mulafossur Waterfall.

😍 Colorful Boathouse with Hot Tub:Picturesque boathouse situated right on the harbour in Leirvik with a cute wooden hot tub with boat and waterfall views with viking ruins right across the street!


EXCURSIONS WE BOOKED:

🛥️ Vestmanna Sea Cliff Boat Tour with Puffins!:Absolutely lovely boat tour along massive cliffs with hundreds, if not thousands, of birds nesting. We saw puffins flying!

🐑 1-Hour Tour of Faroese Wool Spinnery: Tour the ONLY spinnery on the island creating yarn from Faroese wool! An amazing family-run operation where we learned how wool is cleaned, carded and spun. You can even buy Faroese yarn when you're done! I highly recommend. (Click on their 'contact' page to message them to schedule a time)


OUR TRAVEL FAVORITES:

📸 Tours/Excursions: Viator & Get Your Guide
🚕 Airport Transfers with Car Seats: Welcome Pickups
👉 Travel Strollers: Zoe Traveler & Zoe Double
🍼 Baby Carriers: Tula Carriers, Wildride Hip Carriers
📱 International Data Phone eSIM: Airalo
🚗 Cheap Rental Cars: Economy Bookings
🏠 Accomodations: Booking, Expedia, VRBO, Airbnb
🌎 Travel Insurance: World Nomads
We receive a fee when you get a quote from World Nomads using the above link. We do not represent World Nomads. This is not a recommendation to buy travel insurance.

Map of 4 STunning Places to STay in The Faroe Islands

*Use this interactive map to see my top recommendations for beautiful hotels and cottages in the Faroe Islands. Click on the full-screen icon in the top right corner to have this map open in your own Google Maps app or click on the arrow in the top left corner to see a pullout list of all of the accomodations on the map*

Where To Stay in The Faroe Islands To Make Your Trip Memorable

1. Mulafossur Cottages

  • Secluded, quiet and gorgeous (one of the highlights of our entire trip 😍)
  • 15-minute walk to Mulafossur Waterfall
  • Next to a beautiful stream that’s perfect for kids to play in
  • Multiple bedrooms + full kitchen
  • 2-6 guests depending on the cottage
  • ~$311 per night
check prices for Mulafossur Cottages
Young family stands in front of wooden cottage topped with grass in the Faroe Islands
Mulafossur Cottages

Mulafossur Cottages were BY FAR the best part of our time on the islands- we planned our entire trip around staying at these cottages and I’m so glad we did.

It was such an amazing experience staying in such a quiet, remote valley surrounded by stunning mountains. The cottages are all uniquely designed and placed to maximize your view without seeing other guests and without being on display.

They’ve got to be one of the most unique places to stay in the Faroe Islands.

Wooden table with vases inside Mulafossur Cottages in the Faroe Islands
Mulafossur Cottages

The grass roofs are SO typical Faroese and the wooden exterior and interior is so cozy.

The cottages are almost the only thing in this large valley. The only other things are a handful of houses that you can see above the waterfall.

Woman stands with toddler in front of stream and wooden cottages backed by barren mountains in the Faroe Islands
Mulafossur Cottages

It was amazing to wake up to such gorgeous views. We’d watch fog roll in over the mountains, flocks of birds fly overhead and watch as the blue sky appeared again after a rainy day.

On the same property as the cottages, just a few steps away, is a picturesque little stream with a wooden bridge that our was perfect to play in with the kids.

Child stands on wooden bridge over stream with wooden cottages topped with grass in the background in the Faroe Islands
Mulafossur Cottages

We floated flowers and leaves down the stream, jumped onto ‘kid island’ and chased each other over the bridge and back.

The kitchen has everything you need (which is great, because restaurants are far and few between in the Faroes) and the view from the kitchen table is perfect.

Plus, these cottages are only a 20-minute drive from the airport, which is perfect for late arrivals or early flights.

Child plays near stream at a great places to stay in the Faroe Islands
Mulafossur Cottages

*** Important: The bedrooms upstairs have VERY low ceilings. I’m 5’9 and couldn’t stand up straight even in the peak of the ceiling and I had to go down the stairs backwards in order to fit.

If possible, I highly recommend booking one of the cottages that has a bedroom on the main floor.

Child walks up path towards group of wooden cottages topped with grass and backed by green, rocky mountains
Mulafossur Cottages

Click here to see which cottages have a bedroom on the main floor.

That being said, our kids loved the low ceilings and thought it was so fun.

However, if you are traveling with a baby, it’d be nearly impossible to take care of them/rock them to bed in the upstairs bedrooms. Or if you have mobility issues, it’d not be good.

The bedrooms on the main floor have ceilings of a normal height. The 3-bedroom cottage has a bedroom on the main floor plus some of the 2-bedroom cottages have a bedroom on the main floor; you just need to look closely at the photos (you’ll be able to tell).

We booked our JULY stay at Mulafossur Cottages in DECEMBER and they were already getting booked up! It was pretty wild. Click here to see if they have availability during your trip.

If these cottages aren’t available, I recommend booking the cottages I talk about next (The View Cottages). They are only about 10 minutes down the road and have seriously epic views.

check prices for Mulafossur Cottages

2. The View Cottages

  • Located in Bøur one of the most picturesque villages in the Faroe Islands
  • Designed to look like traditional wood & stone cottages with a grass roof, but instead are recently built and equipped with modern comforts
  • EPIC views of Drangarnir Sea Arch and Tindhólmur (a filming spot for How To Train Your Dragon!)
  • Full kitchen
  • Up to 4 guests
  • ~$350 per night
check prices for The View Cottages

The View cottages were next on my list if we hadn’t booked Mulafossur Cottages.

These cottages are located just off the main road in one of the smallest, yet most picturesque villages on the Faroe Islands, Bøur.

They are situated on a grassy hill with stunning water views and can be surrounded by sheep at any time.

3 wooden and stone cottages topped with grass rest on a grassy hillside next to the sea
The View Cottages

The cottages are SO picturesque that the shot of them with Drangarnir Sea Arch and Tindhólmur in the background are becoming an iconic Faroe Islands shot that you see everywhere.

They are designed in traditional Faroese style with wood, stones and grass. They are so well constructed that you’d think they are hundreds of years old, however, they were constructed in 2017!

3 wooden and stone cottages topped with grass rest on a grassy hillside next to the sea
The View Cottages

This means you get traditional Faroese charm with modern conveniences.

If you’re traveling the Faroe Islands with kids, right down the road amongst the other houses in Bøur is a fun little playground with gorgeous views that our kids loved playing at.

You’re only an 8-minute drive to the airport and a 9-minute drive to Mulafossur Waterfall.

check prices for The View cottages

3. Colorful Boathouse with Hot Tub

  • Colorful boat house right on the harbour in Leirvik
  • AMAZING wooden hot tub (we used it every night!)
  • Very comfortable beds, full kitchen and even toys in the cupboard for kids!
  • VIking home ruins across the street
  • Up to 4 guests
  • ~$315 per night
check prices for the boathouse

I searched long and hard to find a cozy place to stay in the Faroe Islands with a hot tub. I stumbled upon this colorful boathouse in Leirvik which has a super cute wooden hot tub and knew we had to book it.

Young family sit in wooden hot tub in front of colorful boathouses in the Faroe Islands
Colorful Boathouse with Hot Tub

This modern boathouse is located RIGHT on the small harbor in Leirvik with great views of the incoming and outgoing boats. Plus it has amazing views of the mountains with even 1-2 waterfalls stumbling down the side!

White, clean kitchen with table, coffee table and couch
Colorful Boathouse with Hot Tub

The accommodations were SO cozy- perfectly , clean, modern and comfortable. It has a full kitchen with everything you need, 2 bedrooms and even toys tucked away for the kids.

We all LOVED being able to unwind in the hot tub after a foggy/chilly day exploring- we used it every day!

View of harbor with boats lined with colorful boathouses with mountains in the background
Colorful Boathouse with Hot Tub

I know more accommodations with hot tubs must exist in the Faroe Islands, but for whatever reason it was pretty difficult for me to find one that would fit all of us, was in good condition and didn’t cost an arm and a leg.

Two children sit in a hot tub with their back towards the camera
Colorful Boathouse with Hot Tub

But this colorful boathouse on the water was PERFECT. I highly recommend. To top it all off, these viking ruins were across the street and there is this small little playground with a fun water play area just a short walk away.

4. Havgrím Seaside Hotel 1948

  • Suites available with beautiful panoramic sea views
  • Wooden hot tub with sea views (shared with other guests)
  • Includes delicious breakfast with a wall of windows overlooking the water
  • Up to 2 guests
  • Starts at $345 per night & goes up depending on room size and sea view
check prices for Havgrím Seaside Hotel 1948

Havgrim Seaside Hotel 1948 is a beautiful boutique hotel situated close to the city center (only a 7-minute walk from restaurants) but situated in a scenic spot on the water.

I remember driving past this area surprised at how beautiful of a spot it was while still so close to the capital.

View this post on Instagram

A post shared by Hotel Havgrim | Faroe Islands (@havgrimseasidehotel1948)

Your sea view will depend on the specific room you book, however, the breakfast area everyone uses has great large windows with great views of the water. PLUS, there is an amazing, wooden hot tub on the property with fabulous sea views and fire pits for you to use.

The one thing that I realized about picking accommodations in the Faroe Islands is that if you want to be as central as possible, you may want to consider being near Torshavn.

If I was wanting to be more centrally located, closer to restaurants and in a boutique hotel with breakfast, I’d definitely consider Havgrím Seaside Hotel. Plus the hot tub?? I mean come on…

View this post on Instagram

A post shared by Hotel Havgrim | Faroe Islands (@havgrimseasidehotel1948)

Personally, we liked being a bit more remote. However, I can see how someone may prefer to be closer to the capital city.

Also, if eating out is important to you, then I’d recommend staying here at Havgrím Seaside Hotel near Torshavn because restaurants are otherwise few and far between. But if you stay in a hotel in/near Torshavn, you’ll be able to get breakfast at your hotel and eat out more easily for other meals.

Havgrím Seaside Hotel looks like the perfect blend of a traditional hotel but on a smaller scale with fabulous amenities and surrounded by nature.

check prices for Havgrím Seaside Hotel 1948

And those are my recommendations for beautiful cottages and hotels in the Faroe Islands! Staying at two of these accommodations really made our trip incredible- I highly recommend! Let me know in the comments below if you have any questions and I’ll be sure to get back to you.

🐑 LOOKING FOR MORE IDEAS FOR VISITING THE FAROE ISLANDS?

CHECK OUT MY OTHER FAROE ISLAND GUIDES:

➡️ 15 Things You Need to Know Before Visiting the Faroe Islands

🐑 The ONLY Guide You Need to Visit The Faroe Islands with Kids

⛅ Is July The Best Time to Visit The Faroe Islands?

⛰️ 5-Day Faroe Islands Itinerary with Hidden Gems

💰 Faroe Islands Trip Cost Breakdown: Is it as Expensive as They Say?

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Hi There, I’m Jenessa

Hi There, I’m Jenessa

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I'm the face behind Destination Daydreamer- a travel-addicted momma to young kids. I currently live in a small town in Denmark but hail from the mountains and deserts of the American Southwest. I'm here to give you tips for perfect family getaways, kid-friendly itineraries, and swoon-worthy (yet budget-friendly) travel accommodations.

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