Find the best Iceland Hotels

Most hotels are fully refundable. Because flexibility matters.

Save an average of 15% on thousands of hotels with Expedia Rewards

Search over 2.9 million properties and 550 airlines worldwide

Iceland Accommodation: Most Popular Cities to Stay

Filter by

Popular filters
Popular filters
Guest rating
Guest rating
Property class
Payment type
Payment type
Property type
Property type
Cities
Cities
Meal plans available
Meal plans available
Amenities
Amenities
Accessibility
Accessibility
Traveller experience
Traveller experience

Top Hotels Iceland

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. 

Iceland Travel Info

Best cities to visit
Reykjavik, Rangárþing eystra and Grindavik
Hotels with bars
2,190
Number of hotels
1,706
Lowest price
£107
Highest price
£345
Top attractions
Blue Lagoon, Jokulsarlon Glacier Lagoon and Thingvellir National Park

Iceland Hotel Reviews
Expedia verified reviews