Fardagafoss is a very beautiful waterfall just outside Egilsstaðir and is easy to reach.
When I was in Egilsstaðir I took the car to find Fardagafoss which was quit easy. From road 1, in Egilsstaðir, you have to drive east on read 92 and almost immediatley take road 93 towards Seyðisfjörður. When the road goes up toFjarðarheiði, there is a sideway with a parking. From there it a short walk, along the river Miðhúsaá to the lower part of the waterfall. Here the river Miðhúsaá drops down over 20 meters in two steps.
I totally missed the upper part. I just had to walk further upstream to see the best part of Fardagafoss with a total height of appr. 80 meters. It was only 10 minutes further on.
When driving further on road 93 you will see several other beautiful waterfalls: first the Gufufoss, 1.5 kilometers from the parking at Fardagafoss. Driving further on to Seyðisfjörður you also pass Mulufoss, 3 kilometers before reaching Seyðisfjörður.
In Seyðisfjörður you can also find the Búðareyrarfoss, with a height of 60 meters.