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Hard to get into univ of Iceland as US citizen?

My daughter is a senior in a US high school and is looking into college in Iceland. I've been reviewing their website and realize that she needs another year of school here to even apply. But I've got hundreds of questions. Hopefully someone can either point me to a resource or help themselves.
It looks like the only degree offered at an undergraduate level in English is "Icelandic as a foreign language" and even then they expect some proficiency in the language before starting. Is this a ridiculous thing to pursue? 
Everyone talks about how expensive it is and how hard housing is to find. Can a 18 year old student find reasonable housing? 
Just how hard is it to get into this school?? 
She is excited but I'd like to research alternatives if this is impossible.

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