I am a born and bread Hólmari (person from Stykkishólmur) and I purchased just after I graduated in 2004 and moved back to my home town again, I have been restoring it ever since. When I bought it it was actually 2 small apartments, as when built the whole basement was only used as a potato storage. and sometime in the 80´s it had been converted into a small room.
It was only in 2015 that we decided to join together the two floors, and therefore it has a slightly weird layout with bathrooms and such.
We try to go ourselves back to Iceland once or twice per year, and we absolutely love staying in Stykkishólmur, and as the old couple that lived there before I bought it told me "It has a great spirit"