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Iceland Accommodation: Most Popular Cities to Stay

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Our top choices for Iceland hotels

1. CityHub Reykjavik

CityHub Reykjavik
2.0 star property
Downtown Reykjavik
9.2 out of 10, Wonderful, (600 reviews)
"Was clean and priced great for our stay"
United States
Dan Donna
The price is ฿4,527
฿5,240 total
includes taxes & fees
24 Aug - 25 Aug
CityHub Reykjavik

2. Reykjavik Residence Apartment Hotel

Reykjavik Residence Apartment Hotel
4.0 star property
Downtown Reykjavik
9.6 out of 10, Exceptional, (3,388 reviews)
"Good place to stay in the center of town"
United States
Aman
The price is ฿8,542
฿9,697 total
includes taxes & fees
14 Sept - 15 Sept
Reykjavik Residence Apartment Hotel

3. Hotel Reykjavík Grand

Hotel Reykjavík Grand
4.0 star property
Laugardalur
9.0 out of 10, Wonderful, (1,011 reviews)
"Great place to stay when you arrive in Iceland."
United States
Josh
The price is ฿9,154
฿10,377 total
includes taxes & fees
16 Sept - 17 Sept
Hotel Reykjavík Grand

4. Grandi by Center Hotels

Grandi by Center Hotels
4.0 star property
Vesturbær
9.4 out of 10, Exceptional, (1,638 reviews)
"Awesome breakfast, spa and location."
Canada
Tammy
The price is ฿11,349
฿12,813 total
includes taxes & fees
26 Aug - 27 Aug
Grandi by Center Hotels

5. The Fox Hostel

The Fox Hostel
2.0 star property
Hrífunesvegur
9.4 out of 10, Exceptional, (110 reviews)
"First time staying in a hostel so had some adjusting the first day but found this to be a great location for the family to cook dinner and interact with other travelers, and very convenient for visiting attractions like glacier lagoon and Vik"
United States
Vijay
The price is ฿3,676
฿4,296 total
includes taxes & fees
13 Sept - 14 Sept
The Fox Hostel

6. Aska Hraun

Aska Hraun
2.0 star property
Hafnarfjörður
8.0 out of 10, Very good, (35 reviews)
"Great location with competitive rate. Property was clean and check in was very easy."
United States
Guiyong
The price is ฿3,106
฿5,197 total
includes taxes & fees
15 Sept - 16 Sept
Aska Hraun

7. Hótel Jokulsarlon - Glacier Lagoon Hotel

Hótel Jokulsarlon - Glacier Lagoon Hotel
4.0 star property
Reynivellir
9.8 out of 10, Exceptional, (884 reviews)
"Great hotel"
United States
Israfil
The price is ฿22,888
฿25,621 total
includes taxes & fees
22 Aug - 23 Aug
Hótel Jokulsarlon - Glacier Lagoon Hotel

8. Hotel Von

Hotel Von
3.5 star property
Downtown Reykjavik
9.4 out of 10, Exceptional, (1,004 reviews)
"Excdllent location, very good food,, amazing staff"
United States
Gustavo Londono
The price is ฿7,539
฿8,584 total
includes taxes & fees
15 Sept - 16 Sept
Hotel Von

9. 201 Hotel

201 Hotel
4.0 star property
Kópavogur
8.6 out of 10, Excellent, (1,012 reviews)
"Great stay!"
United States
Karen
The price is ฿5,131
฿5,911 total
includes taxes & fees
15 Sept - 16 Sept
201 Hotel

10. Old Town Reykjavik

Old Town Reykjavik
3.0 star property
Downtown Reykjavik
7.2 out of 10, Good, (271 reviews)
"Great location for downtown."
United States
FM
The price is ฿4,488
฿5,197 total
includes taxes & fees
31 Aug - 1 Sept
Old Town Reykjavik

11. Alda Hotel Reykjavik

Alda Hotel Reykjavik
4.0 star property
Downtown Reykjavik
9.4 out of 10, Exceptional, (1,367 reviews)
"Great location and beds were very comfortable."
United States
Suzanne
The price is ฿8,752
฿9,931 total
includes taxes & fees
13 Sept - 14 Sept
Alda Hotel Reykjavik

12. The Retreat at Blue Lagoon Iceland

The Retreat at Blue Lagoon Iceland
5.0 star property
Grindavik
9.8 out of 10, Exceptional, (172 reviews)
"2nd time staying here, does not disappoint, everything is perfect."
United States
Christopher
The Retreat at Blue Lagoon Iceland

13. Miðgarður by Center Hotels

Miðgarður by Center Hotels
4.0 star property
Tún
9.4 out of 10, Exceptional, (1,132 reviews)
"Nice hotel"
United States
Jeremy
The price is ฿11,349
฿12,813 total
includes taxes & fees
9 Sept - 10 Sept
Miðgarður by Center Hotels

14. KEX Hotel and Hostel Reykjavik

KEX Hotel and Hostel Reykjavik
2.0 star property
Downtown Reykjavik
8.6 out of 10, Excellent, (897 reviews)
"Cute place with a great location"
United States
Amy
The price is ฿4,011
฿4,706 total
includes taxes & fees
31 Aug - 1 Sept
KEX Hotel and Hostel Reykjavik

15. Exeter Hotel

Exeter Hotel
4.0 star property
Downtown Reykjavik
9.4 out of 10, Exceptional, (1,006 reviews)
"Great location"
United States
David
The price is ฿7,752
฿8,820 total
includes taxes & fees
15 Sept - 16 Sept
Exeter Hotel

16. The Reykjavik EDITION

The Reykjavik EDITION
5.0 star property
Downtown Reykjavik
9.4 out of 10, Exceptional, (681 reviews)
"Beautiful hotel, excellent service, and great location."
United States
Jordin
The price is ฿17,882
฿21,953 total
includes taxes & fees
9 Sept - 10 Sept
The Reykjavik EDITION

17. Fosshotel Reykjavik

Fosshotel Reykjavik
4.0 star property
Laugardalur
9.0 out of 10, Wonderful, (1,024 reviews)
"Views from the hotel were spectacular, the room was clean and comfortable and the breakfast was excellent. "
Canada
John
The price is ฿10,618
฿12,001 total
includes taxes & fees
13 Sept - 14 Sept
Fosshotel Reykjavik

18. Storm Hotel by Keahotels

Storm Hotel by Keahotels
3.0 star property
Laugardalur
9.2 out of 10, Wonderful, (1,005 reviews)
"Great stay."
United States
Lisa
The price is ฿7,585
฿8,635 total
includes taxes & fees
15 Sept - 16 Sept
Storm Hotel by Keahotels

19. Hotel Vík í Mýrdal

Hotel Vík í Mýrdal
3.5 star property
Vik I Myrdal
9.4 out of 10, Exceptional, (1,252 reviews)
"Wonderful room and breakfast was great too!"
United States
Laura
The price is ฿12,933
฿14,572 total
includes taxes & fees
23 Aug - 24 Aug
Hotel Vík í Mýrdal

20. Center Hotels Laugavegur

Center Hotels Laugavegur
4.0 star property
Downtown Reykjavik
9.2 out of 10, Wonderful, (1,357 reviews)
"Great hotel, easy to walk around town. Very helpful, personable front desk staff. Good breakfast to start day."
United States
Karen
The price is ฿10,693
฿12,085 total
includes taxes & fees
13 Sept - 14 Sept
Center Hotels Laugavegur
Lowest nightly price found within the past 24 hours based on a 1 night stay for 2 adults. Prices and availability subject to change. Additional terms may apply.

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Top Iceland Hotel Reviews

Guide to exploring Iceland

Top reasons to visit Iceland

  • Stunning Natural Landscapes: Iceland boasts breathtaking waterfalls, majestic mountains, and unique volcanic beaches that captivate every visitor.
  • Outdoor Adventures: From hiking to geothermal bathing, Iceland offers a plethora of thrilling activities for adventure enthusiasts.
  • Enchanting Reykjavik: The capital city features vibrant culture, charming streets, and the magical Reykjavik lights for a unique urban experience.
  • Luxurious Spa Treatments: Indulge in rejuvenating spa experiences amidst serene natural surroundings, perfect for relaxation.
  • Diverse Accommodation: Choose from a wide range of lodging options, from quaint guesthouses to modern hotels, catering to all preferences.

Find great hotels in Iceland

When visiting Iceland, you'll discover a diverse range of accommodation options, from charming guesthouses to modern hotels, catering to families, adventure seekers, and business travellers alike. With a variety of services and facilities designed to enhance your stay, you're sure to find the perfect Icelandic hotel or guesthouse to match your needs and elevate your vacation experience.

  • Miðgarður by Center Hotels: This 4-star hotel boasts a commendable guest rating of 9.4 out of 10 and is situated in the heart of Iceland. Miðgarður by Center Hotels is an eco-certified property that excels in providing a spa-themed experience suitable for business travellers. Guests can unwind in the full spa and pool area, which includes amenities such as a massage service, sauna, couples treatment rooms, and a hot tub, ensuring a rejuvenating stay amidst Iceland's stunning natural landscapes.
  • Center Hotels Plaza: Rated at 3.5 stars with a guest rating of 8.8 out of 10, Center Hotels Plaza is perfectly located in Iceland and offers an eco-certified environment for business travellers. This hotel combines comfort and convenience, catering to those seeking a professional yet relaxed atmosphere. The property’s commitment to sustainability makes it an appealing choice for eco-conscious guests, while its central location allows for easy exploration of the vibrant local culture and attractions.
  • Center Hotels Arnarhvoll: Another 4-star offering, Center Hotels Arnarhvoll has a guest rating of 9.0 out of 10 and features a distinctive boutique theme with uniquely designed décor and artworks. This eco-certified hotel provides a spa experience that includes a range of services such as a full-service spa, daily spa access, and sauna facilities. The blend of comfort and artistic flair makes it a unique choice for travellers looking to indulge in relaxation while experiencing Iceland's rich artistic heritage.

Where to stay in Iceland

Experience the enchanting allure of Iceland, where adventure meets serenity. Explore South Iceland's stunning landscapes, from breathtaking waterfalls to volcanic beaches. Embrace the charming cities, rich in culture and friendly locals, perfect for romantic getaways or family-friendly excursions. Immerse yourself in Icelandic nature, where each corner reveals a new facet of beauty, making your visit truly unforgettable. Choose Iceland for an adventure that blends vibrant city life with serene, secluded retreats.

  • Reykjavik: As the capital city of Iceland, Reykjavik offers a unique blend of urban charm and natural beauty. Nestled along the coast, this vibrant city is known for its eco-friendly practices and outdoor activities. Visitors can explore the city's renowned spas and shopping areas, all while enjoying the stunning views of hot springs, parks, and the bustling dock port nearby. The peak tourist season runs from July to September, making it an ideal time to immerse yourself in Icelandic culture and family-friendly experiences.
  • Vik I Myrdal: This picturesque village is located near the southern coast of Iceland and is celebrated for its dramatic landscapes and adventure opportunities. Vik I Myrdal is perfect for those seeking outdoor thrills, with attractions such as stunning beaches, impressive waterfalls, and scenic parks. The village has a romantic atmosphere, making it an excellent getaway for couples. Visitors often flock here between March, July, and September, taking advantage of the various resorts, campgrounds, and golf courses that cater to adventure enthusiasts.
  • Downtown Reykjavik: This lively neighbourhood is the heart of Reykjavik, showcasing the city's dynamic culture and eco-conscious ethos. Downtown Reykjavik is renowned for its spa facilities, shopping districts, and family-friendly activities. Surrounded by beautiful parks and hot springs, it's an ideal spot for those looking to connect with nature while enjoying urban amenities. Like Reykjavik, visitor numbers peak from July to September, presenting an excellent opportunity to explore local attractions, including the picturesque dock port.

Things to do in Iceland

Shopping

Discover Reykjavik's Kringlan Shopping Mall, featuring a mix of local and international brands, along with eateries and cafes. For a vibrant atmosphere, visit the Kolaportid Flea Market, where you can find unique souvenirs, Icelandic crafts, and delicious local delicacies on weekends.

Recreation

At the Blue Lagoon, indulge in rejuvenating geothermal waters surrounded by stunning lava fields, complemented by premium spa treatments. In Reykjavik, the Sky Lagoon offers a unique infinity pool experience with scenic ocean views, along with steam rooms and a cold plunge for a refreshing contrast.

Adventure

Experience the breathtaking beauty of the Golden Circle, featuring stunning geysers, majestic waterfalls, and the striking Þingvellir National Park. For thrill-seekers, try snowmobiling on Langjökull Glacier or explore the ice caves of Vatnajökull, where the shimmering blue ice creates an otherworldly landscape.

Nightlife

In Reykjavik, Kiki Queer Bar offers a vibrant atmosphere with drag shows and lively dance floors. Nearby, the Lebowski Bar is known for its quirky decor and a relaxed vibe, serving delicious cocktails and burgers to enjoy before a night out.

*Distances are measured in a straight line; actual driving distances may vary depending on the route.

Find the best attractions in Iceland

Iceland is an ideal destination for outdoor adventures, romantic getaways, and cultural experiences. Visitors can explore stunning waterfalls, historic churches, and majestic mountains, catering to those seeking adventure and cultural enrichment. For a unique experience, don't miss the enchanting Reykjavik lights, which add a magical touch to your Icelandic holiday.

  • Blue Lagoon: Immerse yourself in the geothermal wonders of the Blue Lagoon, where milky blue waters are surrounded by a stunning lava landscape. This destination offers a unique blend of relaxation and wellness, complete with rejuvenating treatments that harness the mineral-rich waters, making it a tranquil oasis for visitors seeking serenity.
  • Kirkjufell Mountain: Renowned for its striking shape, Kirkjufell Mountain is a hiker's paradise. The dramatic scenery offers breathtaking views and an array of outdoor adventures, from hiking trails to photography opportunities, particularly at the nearby waterfall, making it a must-see for nature enthusiasts.
  • Brúarfoss: Known for its striking blue hue, Brúarfoss is a hidden gem among Iceland’s waterfalls. Its romantic setting and cascading waters create a serene atmosphere, enticing adventurers and couples alike to explore its picturesque trails and capture unforgettable moments.

Best time to go to Iceland

The best time to visit Iceland can depend on the weather and when visitor numbers rise and fall. The hottest average temperature in Iceland falls in July, when visitor numbers are slightly high and weather is mostly cloudy with light rain. The coolest average temperature in Iceland falls in January, visitor numbers are slightly high and weather is mostly cloudy with light rain.

calendar iconCalendar Monthtemperature iconTemperaturerain iconPrecipitationmostly cloudy iconCloudinessoccupation rate iconOccupancyprice iconPricing
January25.5°F (-3.6°C)Light RainMostly CloudySlightly HighSlightly Low
February32.5°F (0.3°C)Light RainMostly CloudyAverageAverage
March33.4°F (0.8°C)Light RainMostly CloudyAverageAverage
April38.5°F (3.6°C)Light RainMostly CloudyAverageSlightly Low
May38.5°F (3.6°C)Light RainMostly CloudySlightly LowAverage
June49.8°F (9.9°C)Light RainMostly CloudySlightly HighSlightly High
July52.9°F (11.6°C)Light RainMostly CloudySlightly HighSlightly High
August51.8°F (11.0°C)Light RainMostly CloudyAverageSlightly High
September47.1°F (8.4°C)Light RainMostly CloudyAverageAverage
October34.9°F (1.6°C)Light RainMostly CloudySlightly LowAverage
November36.0°F (2.2°C)Light RainMostly CloudySlightly LowSlightly Low
December30.7°F (-0.7°C)Light RainMostly CloudyAverageAverage

Iceland Travel Guide

About Iceland

Iceland is a tiny island nation in the Atlantic Ocean and is just 500 km from the coast of Greenland. It was originally settled by the Vikings more than 1,000 years ago. Historic attractions coupled with fantastic scenery, hot springs, varied activities and the multiple delights of Reykjavik, the capital city, entice tourists to take Icelandic holidays. Reykjavik’s Keflavik Airport is 10,000 km from Bangkok, around 20 hours flying time via Helsinki or Copenhagen.

Don’t Miss

Reykjavik’s tourist attractions span its historical eras. The first must see is the Viking Settlement Exhibition which features Viking remains and a kiddies’ interactive zone. The three Reykjavik Art Museum branches house exhibits created by the likes of pop artist Erro plus the sculptures of Asmundur Sveinsson. Hallgrimskirkja is a modern church towering 74.5 m above the skyline of Reykjavik.

Restaurants and Bars

Icelandic dishes worth sampling include hangikjöt (smoked lamb), kjötsúpa (lamb soup), whale meat dishes and harofiskur (a dried fish snack). Reykjavik is noted for its plentiful restaurants and even has a significant number of Thai ones. Hverfisgata is a street close to Reykjavik Harbour and has the best selection of eateries in town. A little south in the centre is where a number of the city’s exciting pubs and nightclubs are located.

Activities

For most activities, Iceland is best during the summer months between June and August. The chance of seeing the midnight sun and attending the popular Secret Solstice Music Festival makes summer a logical choice too. A Golden Circle tour, which comprises Thingvellir National Park, Gullfoss Waterfall and the Haukadalur hot springs, is an easy drive from Reykjavik. A road trip around the coast of Iceland is another favourite and could be combined with camping and hiking in the amazing Vatnajokull National Park. Whale and puffin watching tours are more comfortable in summer, while in winter the Northern Lights are visible in many locations.

Shopping

The central Reykjavik zone between the streets of Laugavegur and Skolavordustigur is the top place for shopping in Iceland. Typical Icelandic souvenirs include lopapeysa (wool sweaters and wool scarves), paintings of Vikings, puffin cuddly toys, Omnom chocolate bars, and bottles of Reyka vodka.

Frequently asked questions

How much do hotels in Iceland cost?
Prices for Iceland hotels differ depending on the season and other factors, like school holidays and Easter. You can find cheap options from ฿4,296 in a few different ways. Select your destination and trip dates and then set your budget using the "Price per night" filter. You can then narrow your search by choosing your preferred property type and amenities and more.
When is the best time to go to Iceland?
Temperatures differ across Iceland, so the best time to travel really depends on where you're heading. If you're after a summer holiday in Reykjavik, organise your trip between June and August. At this time of year you can expect temperatures ranging from 9ºC to 13ºC. Keep in mind that Reykjavik has an oceanic climate, so pack appropriately.
What is the best area to stay in Iceland?
Check out the experiences and attractions on offer in Reykjavik and Selfoss. These thrilling cities are just two of the many popular places to look for a hotel in Iceland.
How can I find cheap hotels in Iceland?
Discover affordable accommodation with minimal effort by making use of our handy filter tool. Choose the "Price per night" box to browse low-cost options in Iceland. Another way is to take a look at our cheap hotels in Iceland page. The lowest available price starts at ฿4,296 per night.
What are the best hotels in Iceland for families?
The first step to a great family retreat in Iceland is scoring the right place to stay. Go to the "Traveller experience" section of our filter tool and click on "Family friendly." This will show you all the Iceland options that welcome children and offer family conveniences like childcare and recreational activities. Book the one that matches your budget and style, then get ready to relax while the little ones have a blast.
Why should I book my Iceland hotel with Expedia?
Expedia is your one-stop shop for planning the ultimate holiday experience in Iceland. You'll find a huge array of hotels to select from and search filters that make it a snap to find just what you're after. Worried your plans could change? Many of our hotels offer flexible cancellation policies, so you can book your stay with peace of mind. Get more out of your holiday with Expedia Rewards. Join today for free and you can collect points and unlock membership perks. Enjoy instant access to Member Prices, with savings worth 10% or more on select hotels.