Car Rentals in Southern Iceland, ISL

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Top Rental Car Deals in Southern Iceland

* Price found within the past 6 days. Click for updated prices.

Economy

Chevrolet Spark
  • 4 people
Southern Iceland, ISL
Chevrolet Spark
Economy Chevrolet Spark

Compact

Ford Focus
  • 4 people
Southern Iceland, ISL
Ford Focus
Compact Ford Focus

Midsize

Toyota Corolla
  • 5 people
Southern Iceland, ISL
Toyota Corolla
Midsize Toyota Corolla

SUV

Jeep Compass
  • 5 people
Southern Iceland, ISL
Jeep Compass
SUV Jeep Compass

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What you need to know for your Southern Iceland car rental

Reasons to book a car hire in and around Southern Iceland

Renting a car in Southern Iceland offers travellers the freedom to explore at their own pace, making it an excellent choice for those seeking adventure, romance, or outdoor experiences. With a rental car, you can easily manage your luggage and create flexible travel plans. Key attractions like Landmannalaugar, located 16 km away, provide stunning mountain scenery and outdoor activities. Fjallabak Nature Reserve, just 20 km from Southern Iceland, offers serene landscapes for nature enthusiasts. For a romantic outing, Lake Frostastdavatn, situated 14 km away, is ideal for enjoying beautiful views and outdoor leisure. A rental car also allows convenient access to popular destinations such as Ásahreppur and Grafarkirkja, both 45 km away, where you can discover the majestic Hofsjokull Glacier and Fjarðrárgljúfur canyon. Whether you are travelling with family, friends, or a partner, having a car lets you explore Southern Iceland's breathtaking landscapes and hidden gems without the constraints of public transport. Embrace the convenience of a rental car to make the most of your journey through this picturesque region.

Where to stay around Southern Iceland

  • Ásahreppur: Located 45 km from Southern Iceland, Ásahreppur is ideal for those seeking an eco-friendly adventure. This city offers a range of outdoor activities, with highlights including the stunning Hofsjokull Glacier and the scenic Lakagigar Craters. Visitors can also enjoy the serene atmosphere of Lake Thorisvatn, perfect for romance and relaxation. Accommodations such as spas and resorts provide comfort after a day of exploration, making Ásahreppur a great base for outdoor enthusiasts.
  • Grafarkirkja: Also situated 45 km away from Southern Iceland, Grafarkirkja is a charming destination for adventure and romance seekers. The city is renowned for its breathtaking landscapes, including the dramatic Fjarðrárgljúfur canyon and the picturesque Fagrifoss waterfall. Nearby mountains offer fantastic hiking opportunities. With resort accommodations available, visitors can unwind after a day of outdoor activities, making this area a wonderful choice for those looking to combine nature and relaxation.

10 tips to save on your car hire in and around Southern Iceland

  1. Use filters to find the right car: Refine your search by vehicle type and features. Whether you require an SUV for additional space, a convertible for summer enjoyment, or an economy car for cost-effectiveness, utilise the filters on Expedia to discover the ideal match for your journey.
  2. Book in advance to help lower costs: Rental prices vary based on demand, so it's advisable to secure your car well ahead of your trip. By booking in advance, you are likely to obtain lower rates and enjoy better availability, particularly during peak seasons.
  3. Consider a smaller car for savings: Smaller vehicles are typically less expensive to rent and easier to park in crowded areas. Mid-size rentals offer a balanced choice between cost, comfort, and fuel efficiency.
  4. Age guidelines: Drivers under 30 may encounter higher deposits or daily surcharges, and certain vehicle types—such as SUVs or premium models—might not be available. This limitation can also apply to renters over 70. Always verify the age requirements prior to booking.
  5. Check fuel policies: Many rentals operate under a full-to-full fuel policy, meaning you must return the car with a full tank to avoid additional charges. This is often the most advantageous option. Others may offer full-to-empty or prepaid fuelling options, which are also acceptable. Just ensure you return the car empty in this scenario.
  6. Save on city and airport pickups: You may often incur a surcharge for picking up your rental car at airports, but the convenience it provides might make it worthwhile.
  7. Know your payment options: Many car hire companies only accept credit cards for payment.
  8. Understand your insurance coverage: Car hire insurance can help you avoid unnecessary expenses and offers peace of mind in case of unexpected events during your trip. It's straightforward to add car hire insurance when booking through Expedia.
  9. Consider unlimited mileage: If you're planning lengthy road trips, seek rentals with unlimited mileage to prevent incurring extra charges.
  10. Bring your driver's license and ID: A valid driver's license is necessary to rent a car.

Car Hire Information

Popular car types:
SUV, Full Size, Economy
Car suppliers available:
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Frequently asked questions

What happens if I need to cancel my Southern Iceland car reservation?
You should be eligible for your money back on your prepaid reservation if you let us know more than six hours ahead of collecting the car. Scan the rental agreement for the finer details. Our Customer Service Portal may have what you need too.
What types of cars can I rent in Southern Iceland?
Busy city streets and tight parking spaces are no hassle for an economy car — the most popular rental type in Southern Iceland. Slide behind the wheel of one of these and manoeuvre around traffic easily. Reliable, affordable and good on fuel, these small cars pack plenty of punch. But Southern Iceland can be explored in almost any type of hire you like. Compacts, premiums and SUVs are other options to consider.
How do I find the best car hire deals in Southern Iceland with Expedia?
Expedia makes it easy to compare prices, offers and providers, and to check customer reviews. Bundle your Southern Iceland car hire with hotel or flight bookings and you can save even more.
How old do you have to be to rent a car in Southern Iceland?
Rental car rules in Southern Iceland require drivers to be 20 and above. Are you a younger driver? Some surcharges and restrictions could apply. Rental companies impose what is known as a young driver surcharge, which is an additional fee to the rental car cost. Restrictions often apply to the types of cars available to young people as well. Age limits may differ between companies, so check before booking.
What do you need to rent a car in Southern Iceland?
You'll need to present your driver's license and a credit card at the hire counter. Before pick-up, check with your chosen rental company whether other documentation is needed. For example, you may also need to provide proof of auto insurance.
Can I hire a car for a month or longer in Southern Iceland?
Expedia makes it a snap to book a cheap long-term hire in Southern Iceland. Simply visit our long-term car rental deals page, enter your trip preferences and compare your choices.
Where can I find a Southern Iceland hire car if I am younger than 25?
Some Southern Iceland outlets will rent to drivers under 25 years of age, and others won't. Age policies differ between suppliers, so you'll need to do your homework. Also, find out if there are additional costs. Some outlets will apply a surcharge to young customers between the ages of 21 and 24. Always read through the terms and conditions to avoid any nasty surprises.
Why should I rent a Southern Iceland car with Expedia?
From day trips to cross-country expeditions, Expedia has cars to suit every adventure and style. Choose from multiple quality rental companies in Southern Iceland. And with our exclusive offers and discounts, you can count on getting a good deal on your set of wheels. Did you know you can bundle your bookings into a holiday package? Add a flight or hotel to your hire car and watch the savings add up! Plus, when you become a member of our One Key™ rewards programme, you can collect OneKeyCash™* and spend it on eligible hotels, flights, car rentals and more. *OneKeyCash disclaimer - OneKeyCash is not redeemable for cash and can only be used on Expedia.

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