Hjarðarholtskirkja Church is located at Hjarðarholt Farm, approximately 3 km north east of Búðardalur Village. The farm is well known from the Icelandic Sagas. According to Laxdæla Saga, the couple Thorgerður (daughter of Egill Skallagrímsson) and Ólafur Pá Höskuldsson (grandson of the settler Dala-Kollur) lived there in the 10^th century.

It is believed that a church has stood at Hjarðarholt from the early 12^th century, but the first written record of a church there dates back to 1355.

The present church was built in 1904. It was designed by Rögnvaldur Á. Ólafsson, the first Icelander to study architecture.  It is a wooden building with a cross-shaped foundation, and its length and width are equal, or 10.06 m. A square tower, with a high pyramid roof surrounded by four gabled facedes, extends from the northwest corner of the church.

The altar-piece is an oil painting, showing Jesus Christ with the two diciples at Emmaus. It was painted around 1850, possibly by the Danish painter Vilhelm Jacob Rosenstrand.

The church organ, made of light oak, was built in 1916 in Sweden by A-B. J. P. Nyström Kungl. Hofleverandör Karlstad.

The two church bells are made of copper. It is thought that the older was made in 1720 and the other one in 1858.