In this project, eight sustainable single family houses, situated in Eskifjörður in Iceland, have been designed, and the process described. Calculations in Be06 have been performed and used in the design process to optimise the building’s energy consumption. The houses fulfil the Danish Low Energy Class 2. Apart from that, the BREEAM accreditation method has been used to assess the buildings environmental impact. The buildings have achieved the rating Very good. The buildings have a modern architectural expression. The materials used are both traditional Icelandic materials, such as concrete, as well as more sustainable materials. These include driftwood sheathing and sheep wool insulation. The project culminates in the presentation of the final proposal.