That’s one place I’m hoping to get to, stunning from what I’ve seen, and been told by friends, want to see the northern lights, but was told that your best bet is to hire a car, that way you don’t get tied into it been like a school trip if you decide to go on a coach trip.
http://www.kakslauttanen.fi/
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We went to Iceland last new years for about 3 nights. It's a stunning place. Was on our list of things to do for a while, seen some cheap flights and decided to go just after Christmas for our anniversary on new years eve.
Didn't book a hotel until last minute and nearly cancelled when I seen the prices in Reykjavik


between £1600 And £5000...... Yep. Managed to get a nice one just outside Reykjavik for about £500... it was a 10min drive from the centre.
I'd definitely recommend hiring a car also, we arrived at the airport and priced a taxi to the hotel which was another £100. Bus was about £40 Car was about £300 for 4 days.
We did go to most of the attractions too, the geisers, the blue lagoon, water falls which were -14 and felt like -40 in the wind

. The blue lagoon is very nice, but very much hyped up for tourists. We were advised to go to the secret spa.. hot springs that isn't as commercialised... a better place in my opinion....... but yes the blue lagoon is worth seeing, we didn't swim as you have to book about 3 days ahead to get in

Eating out is very expensive.... first night we arrived we went for a Chinese just opposite the hotel.... £75 for 2 of us..... I'm talking a buffet type here not a gourmet restaurant.
New year's eve was £200 plus for 1 starter 2 mains and a beer.... wife had water

breakfast £30.... each.. but I think we were there in peak season for Iceland.
Didn't see the northern lights as it was pretty cloudy/snowy when we were there. They had a a lot of fireworks on New years eve... I mean from about 10 in the evening til 3-4 in the morning..with a huge peak at midnight. Apparently the fire service is all voluntary and the sale of fireworks go to fund them. It's a bigger place than I had thought, would love to take some time and travel around the whole Island, and just might some time.