OUR FAVORITE HOTELS IN ICELAND
During our travels, we always look for the best places to stay. In Iceland, we searched for affordable hotels and guesthouses with kitchens, and if possible, a fantastic view. Nearly every traveler cooks their own meals in Iceland to save money. This way, you can make eggs or oatmeal in the morning and prepare your own dinner in the evening. With a few exceptions, all of the hotels listed below have a kitchen.
Note: We mention ‘from prices.’ Hotel prices depend greatly on the travel period and how far in advance you book. Therefore, the starting price can vary significantly if you book late or travel during peak season.
Great Hotels in Reykjavik
Kex Hostel
Kex Hostel is perfect when you want to stay at a cozy place without spending too much. It’s located right in the center of Reykjavik, and it has a great atmosphere. There are nice common areas with cozy seating, a bar, and a good restaurant. Of course, there’s also a large kitchen with everything you need to prepare your own meals. On weekends, it’s usually busy and there’s live music.
Low Season
Room from $130 | Dorm from $26
High Season
Room from $187 | Dorm from $44
Guesthouse Galtafell
Located just a 5-minute walk from Reykjavik’s city center, Guesthouse Galtafell is a beautiful building built in 1916, with its original elements well preserved. The common areas are cozy, and if you have a car, you can park it for free right outside. You can choose from rooms or studios in various price ranges to fit your budget!
Low Season
Room from $129
High Season
Room from $253
A Townhouse Hotel
A Townhouse Hotel is a stylish hotel in Reykjavik. All rooms feature a kitchen with a coffee maker, toaster, microwave, and dishwasher. You can easily check in by yourself, but there’s also someone available to assist you. A rental car is helpful as this hotel is a bit outside the city center, but there’s a bus stop nearby that has many buses heading to Reykjavik’s city center.
Low Season
Room from $205
High Season
Room from $275
Great Hotels in Selfoss
Bella Apartments & Rooms
Bella Apartments & Rooms is a nice place to stay for a friendly price. It may not look like the most cheerful hotel, but it is certainly well-equipped. The rooms are very clean, the beds are comfortable, and there is a small kitchenette. There is also a supermarket around the corner and a few restaurants nearby.
Low Season
Room from $88
High Season
Room from $209
Selfoss Hostel
Selfoss Hostel also offers a good price for a pleasant stay. There’s a great atmosphere, and the staff certainly adds to that. A big advantage is that there’s a large communal kitchen, and it’s located right in the heart of Selfoss. Be sure to grab a sandwich at the great bakery across the street!
Low Season
Room from $121
High Season
Room from $132
Guesthouse Bitra B&B
Guesthouse Bitra is located in a beautiful rural area about a 15-minute drive from Selfoss. This large country house has 17 rooms with shared bathrooms. If the Northern Lights are visible, this is the perfect place to spot them due to its remote location. You start your day here with a delicious breakfast with fresh rolls and fruit.
Low Season
Room from $131
High Season
Room from $160
Great Hotels in Vik
Black Beach Suites
You won’t find a better accommodation in and around Vík. These studios guarantee a pleasant stay. It’s not the cheapest, but it’s so unique that we couldn’t skip it. The location is stunning, and from your bedroom, you have a fantastic view (with a bit of luck, the most beautiful sunset or the Northern Lights). The luxurious studios have a fully equipped kitchen and a luxury bathroom.
Low Season
Room from $209
High Season
Room from $242
The Barn
If Black Beach Suites is outside your budget, then The Barn is a very good alternative. The Barn is a hostel, but feels like a chic hotel. The design is amazing, and it’s located in a fantastic spot where you can enjoy a wonderful view. You can choose from a nice double room or a bed in a dormitory as a low-budget option.
Low Season
Room from $154 | Dorm from $78 (2-person)
High Season
Room from $233 | Dorm from $123 (2-person)
Skammidalur Guesthouse
Located about a 10-minute drive from Vík, Skammidalur Guesthouse offers a comfortable and peaceful stay. There is a kitchen with everything you need to prepare a meal. You’ll stay in a nice room with a box spring bed that ensures a great night’s sleep!
Low Season
Room from $154
High Season
Room from $171
Great Hotels in Höfn
Seljavellir Guesthouse
Located about a 10-minute drive from Höfn, Seljavellir Guesthouse offers a lovely stay with clean, spacious, and modern rooms. The bathroom, with a rain shower and underfloor heating, is super luxurious, and the beds are incredibly comfortable. From your bedroom, you’ll have an amazing view of the glaciers, and in the morning, a hearty breakfast awaits you. Note: no kitchen available.
Low Season
Room from $132
High Season
Room from $182
Guesthouse Dyngja
At Guesthouse Dyngja, you’ll stay at a convenient and central location in Höfn, right across from the harbor. The clean rooms come with comfortable beds. The bathroom is modern, and there’s a large shared kitchen. Additionally, the staff is incredibly friendly and welcoming.
Low Season
Room from $89
High Season
Room from $119
Guesthouse Nypugardar
Located a half hour drive from Höfn, in a remote location, Guesthouse Nypugardar offers a very unique stay! The location is quite isolated, making it perfect for spotting the Northern Lights as there’s no light pollution from other buildings or roads. During the day, you can enjoy a breathtaking view, and in the restaurant, you can have a delicious meal.
Low Season
Room from $83
High Season
Room from $193