This small town, situated at the mouth of Berufjörður fjord, on the south coast, dates back to the 16th century when the Danes set up a trading post here.

In fact, an old store, Langabúð, can still be found in the town and many of the oldest houses (1788-1818) have been restored. The scenic beauty of the surrounding area makes Djúpivogur a popular tourist spot and boat trips to the island of Papey are one of its highlights.