Laugarvatn is a lake and small town in the south of Iceland. The lake is a bit smaller than the neighbouring Apavatn.
Laugarvatn lies within the Golden Circle, a popular tourist route, and acts as a staging post. The town has a population of about 200, and lies predominantly along the west side of the lake. There is a boutique hostel called Héradsskólinn located in the town. The lake contains geothermal springs under its surface, making it a popular swimming spot with some warm patches along the shoreline year-round.