2005 - The Nordic Council´s Literature Prize: Skugga-Baldur (Blue Fox)

2005 - The Bookseller''s Award for best novel of the year: Argóarflísin (The Whispering Muse)

2002 - DV Cultural Prize for Literature: Með titrandi tár (With a Quivering Tear)

1998 - National Broadcasting Service´s Writer´s Fund

1995 - DV Cultural Prize for Literature: Augu þín sáu mig (Your Eyes Saw Me)

Nominations

2009 - Prix Europa: Augu þín sáu mig (Made in Secret). Adaptation by Bjarni Jónsson. In the category Radio Fiction

2009 - Gríman, the Icelandic Theatre Awards: Augu þín sáu mig (Made in Secret / Your Eyes Saw Me). Adaptation by Bjarni Jónsson. As the radio play of the year.

2009 - The Independent Foreign Fiction Prize: The Blue Fox

2008 - The Icelandic Literature Prize: Rökkurbýsnir (From the Mouth of the Whale)

2007 - The Icelandic Literature Prize: Söngur steinasafnarans (The Song of the Stone Collector)

2005 - DV Cultural Prize for Literature: Argóarflísin (The Whispering Muse)

2003 - The Icelandic Literature Prize: Skugga-Baldur (Blue Fox)

2001 - The Academy Award: for lyrics in Lars Von Trier´s musical, Dancer in the Dark