Southern Iceland Holidays from £339
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Your Southern Iceland Holiday
With the details organised before you go, our Southern Iceland holiday packages let you focus on enjoying yourself. One of the best places to do that is Reykjavik, which is famous for its nightlife, culture and festivals. Kick off your trip to Southern Iceland with a few nights in Reykjavik visiting popular attractions like Reykjavik Harbour and Laugavegur. Reykjanesbær is another top city that draws travellers from far and wide. Blue Lagoon and Viking World Museum are two of the top places to see in this destination. When it's time to stop dreaming and start packing, Expedia will help turn your Southern Iceland holiday into reality.
Top Southern Iceland Flight + Hotel Deals
Price found within the past 48 hours. Click for updated prices.
Astro Apartments
Downtown Reykjavik
£339
per person
4 Dec - 8 Dec
found 22 hours ago
Return flight included
Manchester (MAN) to Reykjavik (KEF)
8.4/10 Very good! (104 reviews)
Very centrally located with great amenities .. kitchen, separate lounge room, shared laundry and cosy beds. Rainbow street, church, wharf area and grocery store 2-10 minutes walk. Communication was excellent.
Reviewed on 22 Sept 2026
Tower Suites Reykjavik
Laugardalur
£519
per person
11 Dec - 14 Dec
found 1 day ago
Return flight included
Bristol (BRS) to Reykjavik (KEF)
9.6/10 Exceptional! (329 reviews)
It was definitely a luxury experience unlike most stays I've ever done, 10/10 no notes on the hotel itself, the staff and amenities were bespoke. Breakfast was custom made to my liking and brought on a cart in the morning at a time of my choosing. Unbelievably good food and the lady working the desk was very charming.
Word of caution, however: it is the highest up apartment in the entire city, maybe the entire country and the hotel is limited to the private access top floor of a new skyscraper of mostly corporate offices. At night, it was likely that my (city facing/partial ocean view) hotel room was the only one lit up in the tower and since the walls --including the bathroom-- are all glass, everything inside rather stands out and there no real privacy without curtains drawn. At some point, shortly after returning back at around midnight, someone somewhere in the city who noticed my arrival to the hotel room started blasting the apartment with a high powered laser pointer until I closed the curtains. That aside, it was a remarkably nice stay, the only concern is that its wildly ostentatious for better or for worse and maybe the locals aren't too pleased with that haha. I would stay here again.
Reviewed on 11 Sept 2026
HH Guesthouse
Downtown Reykjavik
£347
per person
14 Dec - 18 Dec
found 1 day ago
Return flight included
London (LGW) to Reykjavik (KEF)
8.2/10 Very good! (30 reviews)
This was such a cute property. We received check in instructions day before and was very easy to get in. Finding the guesthouse was a bit difficult but we asked someone in the bakery next door and they were able to direct us. It’s right next door to a convenience store. The guesthouse itself is huge and has everything you need. You do take stairs to get to your room but not a big deal and we found parking on the street. Would definitely stay here again as the location is also perfect and near all the club spots in downtown Reykjavik. Would definitely come here again
Reviewed on 24 Aug 2026
Where to stay in Southern Iceland
Find the best Southern Iceland areas and neighborhoods for the activities you enjoy most. Learn more about Southern Iceland
Downtown Reykjavik
3 out of top 10 points of interest in this area
If you're spending some time in Downtown Reykjavik, Hallgrimskirkja and Reykjavik Pond are top sights worth seeing.
Háaleiti
When in Háaleiti, you can plan a visit to Kringlan Shopping Mall and Laugardalslaug Geothermal Pool, some noteworthy sights in the nearby area.
Vesturbær
1 out of top 10 points of interest in this area
The abundant dining options and waterfront views are top of the list for many visitors to Vesturbær. A stop by Reykjavik Harbour or Landakotskirkja might round out your trip.
Laugardalur
Laugardalur is popular for its abundant dining options, and if you're looking for more to see and do, you might think about a trip to Laugardalslaug Geothermal Pool or Laugavegur.
Tún
If you're spending some time in Tún, Laugavegur and Hofdi House are top sights worth seeing.
Southern Iceland Essential Information
Language | Icelandic |
|---|---|
Currency | Icelandic krónurs |
Closest Airport | Keflavik Intl. Airport (KEF) |
Top hotels in Southern Iceland
Hotel Vík í Mýrdal
Klettsvegur 1-3 Vik I Myrdal
£244
6 Oct - 7 Oct
includes taxes & fees
CityHub Reykjavik
46 Hverfisgata Reykjavik Reykjavíkurborg
Fully refundableReserve now, pay when you stay
£81
21 Oct - 22 Oct
includes taxes & fees
9.2/10 Wonderful! (676 reviews)
"Clean, fun room little pod room. Surprisingly comfy bed. Hot tub was nice as well to view the aurora borealis. Bathrooms where clean and accessible. Great, affordable experience."
Reviewed on 23 Sept 2026
Fosshotel Glacier Lagoon
Hnappavellir, 785 Öræfi Fagurholsmyri Eastern Region
Fully refundableReserve now, pay when you stay
£300
23 Oct - 24 Oct
includes taxes & fees
9.6/10 Exceptional! (1,048 reviews)
"I would definitely go again."
Reviewed on 21 Sept 2026
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.
Stay near popular Southern Iceland attractions
Reykjavik Harbour
9.2/10 (8,713 reviews)
Reykjavík's historic harbour pulses with maritime culture amid colourful repurposed fishing buildings. Embark on whale watching or Northern Lights cruises while enjoying panoramic views of Faxaflói Bay and Mount Esja.
Blue Lagoon
9.4/10 (4,050 reviews)
Iceland's iconic Blue Lagoon offers milky-blue geothermal waters rich in minerals amid volcanic landscapes. Reserve a twilight soak to experience the ethereal atmosphere while enjoying silica mud masks.
Black Sand Beach
9.8/10 (1,665 reviews)
Iceland's dramatic black sand beach features towering basalt columns and Reynisdrangar sea stacks. Keep a respectful distance from the powerful Atlantic waves while watching for puffins nesting in summer.
Hallgrimskirkja
9.2/10 (7,612 reviews)
Hallgrímskirkja rises like Iceland's basalt columns in concrete form, dominating Reykjavik's skyline. Take the lift to the observation tower for sweeping city views framed by distant mountains.
Laugavegur
9.4/10 (6,657 reviews)
Reykjavik's main thoroughfare pulses with colourful boutiques, Icelandic design shops, and lively cafés. Wander between art galleries and cosy restaurants before experiencing the street's legendary nightlife scene.
Photo by David Holroyd
Thingvellir National Park
9.4/10 (4,157 reviews)
Walk between two tectonic plates at this UNESCO site where Iceland's first parliament was established in 930 AD. Explore the Almannagjá Gorge's dramatic fissures and witness the Öxarárfoss waterfall's cascading beauty.
Gullfoss
9.8/10 (564 reviews)
Part of a nature reserve, this waterfall crashing into a deep canyon is among the country’s most iconic features.
Frequently asked questions
How much does a Southern Iceland travel package cost?
From just £339. Yes, you read that correctly. Our Southern Iceland packages are a great way to stretch your budget further. Combine your hotels, flights and rental car and get out and explore this lively destination.
If I'm not able to travel, can I cancel my Southern Iceland travel package?
We totally get that life sometimes gets in the way of your plans. If you've booked a Southern Iceland travel package and have to cancel or amend it, we're here to help. We suggest having a look at our Customer Service Portal first for information. But in general, if you've booked your package within 24 hours, you may be able to cancel or change your itinerary at no cost. If it's been more than 24 hours, your airline, hotel or car rental company may impose a fee.
How do I get a cheap travel package to Southern Iceland?
Browse and lock in everything all in one place with our Southern Iceland travel packages. You'll find bargains on hotels, flights and more that'll keep your hip pocket happy and your adventurous spirit busy. And, with more than 550 airlines and 1,000,000 hotels all over the world to select from, you'll have endless opportunities to mix and match as you please.
Does Expedia offer Book Now, Pay Later Southern Iceland holidays?
Your bank balance shouldn't prevent you from going on holiday, so Expedia has devised a solution to help. Thanks to our partnership with online lender Klarna, it's easier than ever to book an incredible getaway without using up all your savings. Klarna offers flexible payment options during the checkout process that take the stress out of budgeting for your trip. Check out these flexible payment options:
- Pay monthly holidays: Klarna offers convenient monthly payment plans that work for all budget sizes, so you can take that well-earned holiday sooner.
- Pay in instalments holidays: If you'd prefer to pay for your escape across multiple transactions, holidays paid in instalments might be right for your Book Now, Pay Later holiday through Klarna.
- Low deposit holidays: Hitting the "book now" button is much easier with this payment plan. Just put down a small deposit on your booking and then get on your way.
How far in advance should I book my Southern Iceland holiday?
Reserving your tickets early with Expedia means one less thing to worry about. Many air carriers display prices up to 12 months prior to departure dates. This is generally the cheapest time to book. If circumstances have left you booking late, discount tickets to Southern Iceland sometimes emerge a few weeks before departure.
What does an Expedia Southern Iceland travel package include?
From flights and hotels to rental cars, Expedia can help you create a Southern Iceland package that suits you. Heading away for a week or longer? Give some thought to a hotel, flight and rental car bundle. If your break is short, a hotel and airfare deal may be more your style. Activities can also be added after you've booked. Our travel packages make it a cinch to save and plan.
What should I know before booking a Southern Iceland travel package?
A travel package can be tailored to your budget and is an easy way to make your hard-earned dollars stretch further. What you include is up to you. Hotels, rental cars and flights — decide on a combination that suits your plans.
Can I choose my airline with a Southern Iceland Expedia travel package?
Yes — that's one of the best things about an Expedia travel package. You get to choose. We have more than 550 airline partners throughout the world, so you have lots of choice when organising your Southern Iceland getaway.
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* Savings based on package bookings compared to the price of the same components booked separately. Savings not available on all packages. Flight-inclusive packages are ATOL protected.
