Grundarfjörður is a small town, situated in the north of the Snæfellsnes peninsula in the west of Iceland.
The town had 938 inhabitants in 2004 and 974 inhabitants in 2005. The town is situated in front of an impressive mountain range which has a slightly alpine look. On the sea side, there is a mountain called Kirkjufell, a diverted piece of the mountain strip Mýrarhyrna. The mountain forms a small peninsula.