Southern Iceland Holidays from £435

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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.
City Center Hotel

City Center Hotel

3 out of 5
Downtown Reykjavik
Save 100% on your flight
per person
3 Sept - 6 Sept
found 1 day ago
Return flight included
Edinburgh (EDI) to Reykjavik (KEF)
9.2/10 Wonderful! (464 reviews)
The hotel is in the walking distance to the rainbow road, lots of food options, most of the meeting place for tour pick up are near by!

Reviewed on 29 Jul 2025

Tower Suites Reykjavik

Tower Suites Reykjavik

4.5 out of 5
Laugardalur
per person
11 Oct - 15 Oct
found 1 day ago
Return flight included
Edinburgh (EDI) to Reykjavik (KEF)
9.6/10 Exceptional! (285 reviews)
Very modern condominium Feel with panoramic Views of Reykjavik and harbor. Fantastic breakfast brought to your room every morning was enough food for two meals-fresh and healthy!

Reviewed on 30 Jul 2025

ODDSSON Downtown Hotel

ODDSSON Downtown Hotel

3.5 out of 5
Holt
Save 100% on your flight
per person
11 Oct - 15 Oct
found 1 day ago
Return flight included
Edinburgh (EDI) to Reykjavik (KEF)
9.2/10 Wonderful! (168 reviews)
I was leery about not gaveling a front desk but everything went smoothly. Hotel was immaculate.

Reviewed on 26 Jul 2025

Hótel Ísland Comfort

Hótel Ísland Comfort

3 out of 5
Save 100% on your flight
per person
13 Oct - 20 Oct
found 1 day ago
Return flight included
Edinburgh (EDI) to Reykjavik (REK)
8.4/10 Very Good! (636 reviews)
The front desk staff are extremely friendly and helpful with local attractions and tips for visitors. They also went above and beyond in helping us resolving issues with our credit cards were locked by the credit card companies.

Reviewed on 29 Jul 2025

Reykjavik Residence Hotel

Reykjavik Residence Hotel

4 out of 5
Downtown Reykjavik
Save 100% on your flight
per person
3 Sept - 6 Sept
found 1 day ago
Return flight included
Edinburgh (EDI) to Reykjavik (KEF)
9.6/10 Exceptional! (2,953 reviews)
Stayed for 4 days with family. Enjoyed our stay. Hotel room was clean and spacious. Lot of room to sleep and move around. Located in downtown area, close to key attractions, shopping, food etc., and the bus stop was literally at the entrance.

Reviewed on 29 Jul 2025

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
Reykjavik featuring interior views, a church or cathedral and religious aspects

Downtown Reykjavik

2 out of top 10 points of interest in this area
5/5(281 area reviews)

If you're spending some time in Downtown Reykjavik, Hallgrimskirkja and National Gallery of Iceland are top sights worth seeing.

Find hotels in Downtown Reykjavik

Southern Iceland Essential Information

Language
Icelandic
Currency
Icelandic krónurs
Closest Airport
Keflavik Intl. Airport (KEF)

Top hotels in Southern Iceland

Fosshotel Reykjavik

Fosshotel Reykjavik

4 out of 5
Þórunnartún 1 - Höfðatorg, Reykjavik
Fully refundableReserve now, pay when you stay
The price is £282 per night from 27 Aug to 28 Aug
£282
27 Aug - 28 Aug
includes taxes & fees
9/10 Wonderful! (1,021 reviews)
"Wonderful location"

Reviewed on 30 Jul 2025

Fosshotel Reykjavik
CityHub Reykjavik

CityHub Reykjavik

3 out of 5
46 Hverfisgata, Reykjavik, Reykjavíkurborg
Fully refundableReserve now, pay when you stay
The price is £124 per night from 4 Aug to 5 Aug
£124
4 Aug - 5 Aug
includes taxes & fees
9/10 Wonderful! (197 reviews)
"Out of five countries in this trip - CityHub was the most amazing hostel we stayed in!!"

Reviewed on 26 Jul 2025

CityHub Reykjavik
Alda Hotel Reykjavik

Alda Hotel Reykjavik

4 out of 5
Laugavegur 66-68, Reykjavik
Fully refundableReserve now, pay when you stay
The price is £271 per night from 25 Aug to 26 Aug
£271
25 Aug - 26 Aug
includes taxes & fees
9.2/10 Wonderful! (1,014 reviews)
"This hotel is right in the main strip, you walk out and there are shops and restaurants all around you."

Reviewed on 30 Jul 2025

Alda Hotel Reykjavik
See all 1,939 properties in Southern Iceland
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.
All Inclusive Holidays
All Inclusive Holidays
Beach Holidays
Beach Holidays
Family Friendly Holidays
Family Friendly Holidays

Popular places to visit

Reykjavik Harbour showing outdoor art, a sunset and general coastal views

Reykjavik Harbour

Once a maritime and fishing precinct, the Old Harbour now buzzes with restaurants, cafés and tour boat operators.

Reykjavik Harbour
Blue Lagoon which includes a hot spring, modern architecture and a luxury hotel or resort

Blue Lagoon

Soak away your aches, get a massage treatment and swim in the milky blue waters of this mineral-rich geothermal pool sculpted by lava in Grindavik.

Blue Lagoon
Jokulsarlon Glacier Lagoon

Jokulsarlon Glacier Lagoon

Explore the great outdoors at Jokulsarlon Glacier Lagoon, a popular spot to commune with nature in Hofn. Stroll along the seaside or discover the area's glaciers.

Jokulsarlon Glacier Lagoon

Frequently asked questions

How much does a Southern Iceland travel package cost?
From just £435. 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.

* 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.