The famous peninsula Dyrhólaey is the southernmost part of Iceland not far from the town of Vík. It is a beautiful naturally formed arch and a former volcanic island. What is the most mesmerizing thing about Dyrhólaey is the hole in the middle of the peninsula, it shows the true power of the nature and how the ocean has been shaping the coast of Iceland for centuries.
Dyrhólaey is a nesting place for puffins and other seabirds. For bird lovers, this is the place to go. Best time to spot puffins is in end of April until early September. Best time of the day to spot them is in the morning (07:00-10:00) and in the evening (18:00-22:00). Note that the place is a environment reserved for nesting seabirds and for that reason access is limited in May and June.
The drive from Reykjavík to Dyrhólaey is about 2 hours and 30 minutes (175 km). Take Ring Road nr. 1 heading east and then turn right on road nr. 218. From there you have two options to go to the higher area where the lighthouse is located or to the lower area where you can see the rock Arnardrangur.
Read more about Driving in Iceland.
Remember that the weather is unpredictable in Iceland and sometimes there are very strong winds. The waves around Dyrhóley can be very strong so be very careful when walking on the cliffs or on the beach especially in bad weather or when the tide is high.