We had decided to be on the road everyday so had to decided upon towns and accomodations in different places everyday.
Booking options to choose from are booking.com (all they need is credit card info), MakeMyTrip.com, godoproperty.com etc in addition to the tons of other options online. Compare the prices and just book it! One site which I want to mention specially is bungalo.com, especially for those looking to book cottages in the countryside.
5. Apply for Iceland visa (Schengen).
Applying for visa is totally hassle free. For an Iceland visa you have apply through the Danish embassy (as Iceland doesn't have its own thing). Just go to VFS global website, check what documents are needed, create your id, book an appointment and visit the centre. Even if you haven't done half the things on your check list of documents the staff there is more than happy to help. It takes nearly three weeks to get the visa.
Once you get the visa you are all set. Time to start the next process!
B) THE SHOPPING-
Obviously Iceland is a cold country, just like the people there say- either its COLD, or its BLOODY COLD!
Shopping for warm clothes is essential- look for thermals, jackets, fleece pullovers, warm pants, mufflers, neck warmers, gloves, warm cap, woolen socks, waterproof warm shoes.
Keep in mind it can rain at any time of the time so buy jackets and gloves which are waterproof.
In case you plan to visit the many hot baths scattered over Iceland buy swimwear and quick drying towels.
One stop shop for all these things is Decathlon (The only downside is they don't have colourful jackets). Or you can try buying stuff online from Amazon too!