One could argue that Húsavík (the bay of houses) is the first place inhabited by people in Iceland. The second Viking Explorer, who arrived in Iceland in the second half of the 9th century, built the first house by the bay and stayed her for one winter. Garðar Svavarsson named the island Garðarshólmi after himself, but the name didn’t stick. To learn more about Húsavík http://hiticeland.com/towns_and_villages_in_iceland/h%C3%BAsav%C3%ADk