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Iceland Accommodation: Most Popular Cities to Stay

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Our top choices for Iceland hotels

CityHub Reykjavik

CityHub Reykjavik
2.0 star property
Downtown Reykjavik
9.2 out of 10, Wonderful, (479 reviews)
"Such a great stay! Check in was easy, the place was clean, and perfect for a quick trip to Iceland!!"
United States
Ashley
The price is £104
includes taxes & fees
17 Jun - 18 Jun
CityHub Reykjavik

Hotel Reykjavík Grand

Hotel Reykjavík Grand
4.0 star property
Laugardalur
9.0 out of 10, Wonderful, (1,024 reviews)
"We had an excellent stay, the room was clean and staff were friendly"
Canada
Darry
The price is £283
includes taxes & fees
17 Jun - 18 Jun
Hotel Reykjavík Grand

Reykjavik Residence Apartment Hotel

Reykjavik Residence Apartment Hotel
4.0 star property
Downtown Reykjavik
9.6 out of 10, Exceptional, (3,306 reviews)
"Great location."
United States
Ibrahim
The price is £199
includes taxes & fees
14 Jun - 15 Jun
Reykjavik Residence Apartment Hotel

The Fox Hostel

The Fox Hostel
1.0 star property
Hrífunesvegur
9.4 out of 10, Exceptional, (61 reviews)
"The bed is so comfy and everything is clean and tidy. I had a great stay here."
United States
Zhiqing
The price is £56
includes taxes & fees
20 Jun - 21 Jun
The Fox Hostel

Hótel Jokulsarlon - Glacier Lagoon Hotel

Hótel Jokulsarlon - Glacier Lagoon Hotel
4.0 star property
Reynivellir
9.8 out of 10, Exceptional, (777 reviews)
"Amazing hotel!"
United States
Jessica
The price is £420
includes taxes & fees
14 Jun - 15 Jun
Hótel Jokulsarlon - Glacier Lagoon Hotel

201 Hotel

201 Hotel
4.0 star property
Kópavogur
8.6 out of 10, Excellent, (1,015 reviews)
"A wonderful hotel with a great, healthy breakfast. Enjoyed out stay - we were not disappointed."
Canada
Yvan
The price is £123
includes taxes & fees
17 Jun - 18 Jun
201 Hotel

Grandi by Center Hotels

Grandi by Center Hotels
4.0 star property
Vesturbær
9.4 out of 10, Exceptional, (1,610 reviews)
"The hotel is excellent with very friendly and helpful staff. The location is excellent too."
United States
David
The price is £178
includes taxes & fees
21 Jun - 22 Jun
Grandi by Center Hotels

Fosshotel Reykjavik

Fosshotel Reykjavik
4.0 star property
Laugardalur
9.2 out of 10, Wonderful, (1,016 reviews)
"A perfect stay!"
United States
Oren
The price is £287
includes taxes & fees
30 Jun - 1 Jul
Fosshotel Reykjavik

Hotel Viking

Hotel Viking
4.0 star property
Hafnarfjordur
8.6 out of 10, Excellent, (1,531 reviews)
"Great experience and excellent breakfast,awesome location..Highly recommend,"
United States
Ragav
The price is £140
includes taxes & fees
14 Jun - 15 Jun
Hotel Viking

Hotel Vík í Mýrdal

Hotel Vík í Mýrdal
3.5 star property
Vik I Myrdal
9.4 out of 10, Exceptional, (1,211 reviews)
"Very clean, great location and wonderful breakfast!"
Canada
Micah
The price is £341
includes taxes & fees
17 Jun - 18 Jun
Hotel Vík í Mýrdal

Hotel Boli Keflavik

Hotel Boli Keflavik
2.0 star property
Reykjanesbaer
8.0 out of 10, Very good, (35 reviews)
"Great place to stay the night before an early flight with basic room facilities."
United Kingdom
Paola
The price is £124
includes taxes & fees
16 Jun - 17 Jun
Hotel Boli Keflavik

Old Town Reykjavik

Old Town Reykjavik
3.0 star property
Downtown Reykjavik
7.2 out of 10, Good, (210 reviews)
"Very well located, beautiful, comfortable and clean"
Mexico
HUGO
The price is £100
includes taxes & fees
17 Jun - 18 Jun
Old Town Reykjavik

Fisherman's Village

Fisherman's Village
3.0 star property
Garðabær
9.2 out of 10, Wonderful, (1,001 reviews)
"Cute place not too far from Reykjavik. Scenery is amazing. Enjoyed our time here and would stay again!"
United States
Emily
The price is £126
includes taxes & fees
16 Jun - 17 Jun
Fisherman's Village

KEX Hotel and Hostel Reykjavik

KEX Hotel and Hostel Reykjavik
2.0 star property
Downtown Reykjavik
8.6 out of 10, Excellent, (842 reviews)
"I really enjoyed my time at this Hostel! I recommend this location, and establishment for any solo travellers on a budget looking for a perfect place to stay — close to city centre, walks along the coast, and lots of historical sights around! The staff were very nice and attentive. "
Canada
Louise
The price is £107
includes taxes & fees
21 Jun - 22 Jun
KEX Hotel and Hostel Reykjavik

Exeter Hotel

Exeter Hotel
4.0 star property
Downtown Reykjavik
9.4 out of 10, Exceptional, (1,011 reviews)
"Great location and comfortable stay"
Canada
Sneha
The price is £241
includes taxes & fees
16 Jun - 17 Jun
Exeter Hotel

Blue Viking Pods

Blue Viking Pods
1.5 star property
Reykjanesbær
8.6 out of 10, Excellent, (31 reviews)
"Very good for short term stays "
United States
Erica
The price is £98
includes taxes & fees
12 Jun - 13 Jun
Blue Viking Pods

Konvin Hotel by Reykjavik Keflavik Airport

Konvin Hotel by Reykjavik Keflavik Airport
3.0 star property
Reykjanesbær
8.6 out of 10, Excellent, (1,200 reviews)
"Restaurant on property is excellent"
United States
Donald
The price is £151
includes taxes & fees
30 Jun - 1 Jul
Konvin Hotel by Reykjavik Keflavik Airport

Sand Hotel by Keahotels

Sand Hotel by Keahotels
4.0 star property
Downtown Reykjavik
9.6 out of 10, Exceptional, (1,005 reviews)
"Great place to stay"
United States
Morgan
The price is £224
includes taxes & fees
15 Jun - 16 Jun
Sand Hotel by Keahotels

Fosshotel Glacier Lagoon

Fosshotel Glacier Lagoon
4.0 star property
Fagurholsmyri
9.6 out of 10, Exceptional, (1,011 reviews)
"Very beautiful location, nice clean hotel, good restaurant and super friendly stuff."
United States
Irina
The price is £373
includes taxes & fees
14 Jun - 15 Jun
Fosshotel Glacier Lagoon

Courtyard by Marriott Reykjavik Keflavik Airport

Courtyard by Marriott Reykjavik Keflavik Airport
4.0 star property
Reykjanesbær
9.2 out of 10, Wonderful, (1,033 reviews)
"Close to the airport, clean spacious room, wonderful staff."
United States
Tricia
The price is £287
includes taxes & fees
1 Jul - 2 Jul
Courtyard by Marriott Reykjavik Keflavik Airport
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.

Great weekend hotel deals in Iceland

Showing deals for:19 Jun - 21 Jun

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Top Iceland Hotel Reviews

Guide to exploring Iceland

Top reasons to visit Iceland

  • Breathtaking Landscapes: Experience stunning waterfalls, mountains, and the enchanting scenery of South Iceland, perfect for outdoor adventures.
  • Unique Spa Experiences: Relax at luxurious resorts and indulge in rejuvenating spa treatments amidst Icelandic nature.
  • Rich Cultural Scene: Explore vibrant cities like Reykjavik, where culture and friendly locals create a warm atmosphere.
  • Magical Northern Lights: Don't miss the enchanting display of the Northern Lights, a captivating highlight of your visit.
  • Charming Accommodations: Enjoy a range of guesthouses and hotels tailored for every type of traveller.

Find great hotels in Iceland

Discover the perfect base for your Icelandic adventure with a range of charming guesthouses and hotels tailored to suit families, business travellers, and adventure seekers alike. Whether you're looking for comfortable accommodations or unique experiences, Iceland's hotels provide essential amenities to ensure a memorable stay. Explore the diverse options available and find the ideal Iceland hotel to enhance your visit to this stunning destination.

  • Miðgarður by Center Hotels: Miðgarður by Center Hotels is a distinguished 4-star property with a remarkable guest rating of 9.4. Nestled in the heart of Iceland, this hotel offers a unique spa-themed experience ideal for both relaxation and business travel. Eco-certified, it caters to environmentally conscious travellers while providing an array of amenities, including a full-service spa, hot tub, sauna, and couples treatment rooms. Guests appreciate the tranquil atmosphere, making it the perfect retreat after a day of exploration.
  • Center Hotels Plaza: With a comfortable 3.5-star rating and a guest rating of 8.8, Center Hotels Plaza is a solid choice for those seeking a blend of eco-consciousness and business amenities in Iceland. This eco-certified hotel is well-appointed with modern comforts, ensuring a pleasant stay for both leisure and business travellers. Its central location places you within easy reach of local attractions and dining options, making it a convenient base for exploring the vibrant culture of Iceland.
  • Center Hotels Arnarhvoll: Center Hotels Arnarhvoll boasts a 4-star rating and an impressive guest rating of 9.0. This boutique hotel is perfect for those desiring a spa-themed, eco-certified getaway. The property features uniquely designed decor and artworks, enhancing its charm and character. Guests can indulge in a full-service spa experience, complete with a hot tub and daily spa facilities. The hotel's intimate setting and personalised service make it an exceptional choice for a memorable stay in Iceland.

Where to stay in Iceland

Iceland offers a captivating blend of adventure and romance, perfect for any traveller. Explore the stunning landscapes of South Iceland, where excursions reveal breathtaking scenery and secluded spots. Experience the warmth of friendly locals while immersing yourself in Icelandic nature. Whether you choose to wander through vibrant cities or savour the tranquillity of rural areas, Iceland promises an unforgettable journey filled with unique experiences and family-friendly activities.

  • Reykjavik: As the capital city of Iceland, Reykjavik is a vibrant hub set against a backdrop of stunning natural landscapes. The city is famed for its unique blend of modern architecture and historical sites, making it a great base for outdoor adventures. Peak tourist seasons from July to September offer opportunities for hiking and exploring nearby hot springs, parks, and the picturesque harbour. Families and eco-conscious travellers alike will find plenty of eco-friendly activities and wellness options, including local spas and body treatments, making it an ideal destination for relaxation and recreation.
  • Vik I Myrdal: Nestled in the southern part of Iceland, Vik I Myrdal is a charming village surrounded by dramatic landscapes. Known for its outdoor activities and romantic settings, the area attracts visitors year-round, peaking in March, July, and September. The stunning black sand beach, Reynisfjara, and the nearby Skógafoss waterfall are must-see attractions. Adventurous souls can enjoy camping and golfing, while couples can take in breathtaking views of the cliffs and ocean, creating unforgettable memories in this serene environment.
  • Downtown Reykjavik: This lively neighbourhood is the cultural heart of Reykjavik, where visitors can immerse themselves in Icelandic life. With its pedestrian-friendly streets, Downtown Reykjavik offers a plethora of shops, cafes, and art galleries, all set against a backdrop of stunning natural beauty. Peak tourist visits occur from July to September, with many families seeking outdoor activities and eco-friendly experiences. The proximity to hot springs, parks, and the harbour provides countless opportunities for relaxation and exploration, making it a vibrant spot to unwind after a day of sightseeing.

Things to do in Iceland

Iceland is perfect for outdoor and adventure-filled getaways, as well as romantic escapes. Visitors can enjoy popular activities such as indulging in spa treatments and relaxing at resorts. An essential experience is the Sörla Camp, which offers unique opportunities to connect with the stunning Icelandic landscape. Whether you're seeking relaxation or adventure, Iceland has something to offer every traveller.

Shopping

Iceland offers a unique shopping experience, with popular spots like Kringlan Mall, featuring a variety of shops and eateries. For local crafts, visit Kolaportid Flea Market, where you can find traditional Icelandic souvenirs and handmade gifts, all while enjoying a vibrant atmosphere.

Recreation

Experience the Blue Lagoon with its geothermal waters, soothing your body and mind while surrounded by stunning lava fields. Enjoy luxurious treatments like massages or skincare rituals. For a unique experience, explore the Secret Lagoon, where you can unwind in natural hot springs amidst beautiful landscapes.

Adventure

Experience the thrill of glacier hiking in Sólheimajökull, where you’ll trek across stunning ice formations. In Þingvellir National Park, dive between tectonic plates in Silfra, offering crystal-clear waters and unique underwater views. Don't miss a snowmobile adventure on Langjökull glacier for exhilarating speed and breathtaking scenery.

Nightlife

In Reykjavik, Kiki Queer Bar offers a vibrant atmosphere with drag shows and eclectic music, while Lebowski Bar is perfect for a laid-back vibe with a selection of cocktails and films. For late-night dancing, check out Paloma, known for its lively DJ sets and energetic crowd.

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

Booking tips and Expedia advantages for Iceland

  • The most and least expensive months on average to stay in a hotel: The cheapest months to stay in Iceland are January, April and November, where the prices are slightly lower. This is in comparison to June to August, where prices are slightly higher.
  • The best time to book a hotel: The cheapest time to book a hotel in Iceland is usually 1 month out from when you are planning to stay, though if you're late to the party, have a look at Expedia's last minute deals - the green banner below the hotel's price indicates a discounted rate.
  • The most and least expensive days on average to stay in a hotel: The least expensive day to stay in Iceland is Monday. The most expensive day to stay in Iceland is Friday.
  • Find cheap hotels on Expedia: Expedia's search tool enables you to set your budget, choose your ideal location, and much more. You can organise your results to display prices from lowest to highest, ensuring you see the most affordable hotels first. Additionally, you have the option to refine your search by hotel type—selecting the Eco-certified filter will showcase sustainable and environmentally friendly hotels that are available for booking.
  • Consider bundling your trip: You can save money by combining your hotel accommodation in Iceland with your flights and activities by opting for an Expedia package.

Find the best attractions in Iceland

Iceland offers a perfect blend of outdoor adventures and romantic getaways, with stunning attractions like waterfalls, churches, and mountains to explore. Whether you're seeking cultural experiences or thrilling outdoor activities, the country has something for everyone. Don't miss the enchanting Reykjavik Lights, which add a magical touch to your visit. Experience the diverse beauty of Iceland, where every corner invites exploration and adventure.

  • Reykjavik Harbour: Experience vibrant beach vibes at Reykjavik Harbour, where stunning scenery meets the bustling heart of the capital. Enjoy picturesque views of the surrounding mountains and the charming harbourfront cafés.
  • Blue Lagoon: Immerse yourself in the soothing geothermal waters of the Blue Lagoon, renowned for its wellness and relaxation atmosphere. This outdoor spa offers a unique blend of natural beauty and rejuvenating treatments in a surreal, otherworldly landscape.
  • Jokulsarlon Glacier Lagoon: Marvel at the breathtaking scenery of Jokulsarlon Glacier Lagoon, where shimmering icebergs drift in serene waters. This spectacular glacier lagoon offers stunning photo opportunities and a chance to witness the raw beauty of Iceland's nature.

Best time to go to Iceland

The best time to visit Iceland is dependent on what kind of holiday you are seeking. July is its hottest month on average. At this time, visitor numbers are slightly high and weather is mostly cloudy with light rain. January is its coolest month on average. At this time, visitor numbers are slightly high and weather is mostly cloudy with light rain.

calendarCalendar MonthtemperatureTemperaturerainPrecipitationmostlyCloudinessoccupationOccupancypricePricing
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

Discover your dream Iceland hotel with Expedia

Varied Iceland hotels for every type of traveller 

From watching the sunrise on horseback atop a snow-covered mountain to soaking up the health benefits of thermal energy and witnessing the stunning natural light show of the Northern Lights, Iceland has plenty to offer adventurous travellers. Sixty per cent of the country's population lives in its sophisticated capital Reykjavik, where you will find many of Iceland's hotels. Iceland caters to adventurers and romantics alike and Expedia offers a superb selection of romantic hotels in Iceland including spa hotels in Iceland

Popular places to stay in Iceland 

From its language to its scenery and location just south of the Arctic Circle, Iceland is an intriguing and wonderful land. Much of the country's life is concentrated in its capital city Reykjavik, but nature is just a stone's throw away. Leave the city to lose yourself in a rugged landscape of ancient mountains, frozen waterfalls, and quaint villages. Icelandic hotels can be few and far between outside of Reykjavik so make sure to carefully plan your trip. Popular places to stay include: 

  • Reykjavik: the beating soul of Iceland and home to some of the best Iceland accommodation options. The city is a great base if you're planning to visit the famously romantic Blue Lagoon. Make the most of the bustling nightlife with plenty of bars and the world-class Harpa concert hall. Downtown Reykjavik is where you'll find the largest choice of cool Iceland hotels. 
  • Vik: this remote village on the south coast of Iceland is one of the best places to stay if you are planning to check out local natural wonders such as the Mýrdalsjökull Glacier and the Dyrhólaey cliffs. The area around Vik is home to some top-class accommodation and while it gets freezing during the winter, there are sadly no ice hotels in Iceland just yet. 
  • Akureyri: situated on the north side of the island, Akureyri is home to 20,000 inhabitants, a big town by Icelandic standards. The city is a good base to enjoy the north of Iceland and is popular with families who love the whale-watching tours that depart from the harbour and the nearby hiking trails.

Find some of the best Iceland hotel deals 

Finding deals for some of the best Iceland hotels with Expedia can be as easy as being flexible with your travel dates. The summer months in Iceland mean warmer temperatures and a sun that never truly sets. July and August are peak tourist seasons. It's when prices tend to be at their highest. Winter in Iceland can be harsh with very low temperatures and snow but it's also when you may be able to find deals for some of the best hotels in Iceland. Truth be told, there's a special magic to enjoying the warm thermal waters of the Blue Lagoon while gazing at snow-covered mountain peaks on the horizon.

Keep an eye out for the green tabs that sit just above the price tags of accommodation. These tabs indicate particularly good discounts on Expedia's Icelandic hotels. 

Iceland accommodation picks 

Expedia has one of the largest selection of accommodation in Iceland at some of the best prices available. From spa and boutique hotels to romantic hotels in Iceland, enjoy exploring a great selection of hotels as you plan the trip of a lifetime. 

The Retreat at Blue Lagoon is a 5-star hotel within walking distance of the iconic Blue Lagoon landmark. Boasting a spa and complimentary breakfast, it is one of the best Iceland hotels for hot springs. Hotel Cabin is a neat and comfortable hotel close to the harbour of Reykjavik. It is one of the cheaper options for accommodation in the capital. Some rooms feature sea views. Hotel Fron in downtown Reykjavik is a smart 3-star hotel that offers free breakfast. Situated just a 4-minute drive from Reykjavik's domestic airport, it is a great option if you are planning to take a flight within Iceland and would like to stay close to the airport. 

Hotel Rangá is halfway between Reykjavik and Vik. Attractions within driving distance include the waterfalls of Seljalandsfoss and Urridafoss. Rooms include a complimentary breakfast and the hotel features a 24-hour business centre. With its 2 hot tubs and onsite golf course, 4-star Hotel Örk is one of the top luxury hotels in Iceland. It is situated near the Reykjadalur Valley, famous for its easy hiking trails and natural hot springs. In Hotel Island, Iceland's wellness hotel located in Reykjavik's Háaleiti district, a 4-star spa experience awaits you with multiple hot tubs, a sauna, steam rooms, and swimming pools. Hotel Viking on the outskirts of Reykjavik is a boutique hotel in Iceland themed around Vikings, the original settlers of the country. Enjoy traditional dishes in its charming wooden restaurant before hitting the hotel hot tubs. 

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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 £56 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 £56 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?
We make booking a stay in Iceland as simple as swiping right for your perfect holiday. First, there's the extensive choice and incredible prices. Then, there's our online Help Centre, which operates around-the-clock. Plus, when you become a member of our free One Key™ rewards programme, you can earn OneKeyCash™* and use it on eligible flights, activities, hotels and more. *OneKeyCash disclaimer - OneKeyCash is not redeemable for cash and can only be used on Expedia.