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Hotels in Reykjavík and larger towns usually offer standard amenities: hair dryer, trouser press, telephone, and satellite TV. Unless otherwise noted, assume rooms listed have bath or shower. Breakfast is usually included in the hotel price, but inquire to be certain.
Many travelers find simple guesthouses adequate, whereas others prefer a bed-and-breakfast in a private home. Icelandic farm holidays have been growing in popularity, even among Icelanders. On about 180 properties—half of them working farms—you can come in close contact with the country, its people, and the magnificent natural surroundings. Accommodations vary widely: you might stay in a separate cottage, in a bed in the farmhouse, or in a sleeping bag in an outbuilding. Some farms have cooking facilities; others serve full meals if requested. Make reservations well in advance.
Imagine getting to experience the Icelandic wilderness firsthand, except with high-end furniture, cozy carpets, and a heated mattress—enter Camp Boutique, Iceland's prime destination for glamping. Sleep outside in a luxurious and spacious tent, complete with a coffeemaker, stylish decorations, and more, that's only a short walk away from a private black-sand beach.
Located within the old village school, Sólbrekka Guesthouse offers basic accommodations (mainly bunk beds) for a limited period during the summer. Apart from the few rudimentary rooms, amenities include Wi-Fi and cooking and laundry facilities. If you're looking for something roomier, two cozy wooden cottages (each sleeping four people) are found further up the hill. The cottages are perfect for seclusion and spectacular views, especially from their private hot tubs. Want even more seclusion? Winter packages (with boat trip and cottage hire) are also possible.
An excellent place to stay by the Svartá river, this mountain hut operated by Íslandshestar has beds for 30 people and stable facilities for those traveling by horse. There is also a cozy café called Kaffi Kjölur selling food, beer, and wine. If you're staying the night, you'll need to bring a sleeping bag or you can rent one here.
Located in a lovely old house next to the airport, Básar is a clean and comfortable no-frills guesthouse with helpful and friendly hosts. There are shared guest kitchen facilities and complimentary tea and coffee.
On the outskirts of Borgarnes, you'll find this guesthouse, which manages to give you the convenience of being near town yet the quiet of being in the middle of nowhere at the same time. There are different-size rooms in the main house, but you can also rent a private house behind the farm if you're traveling with a larger group. Way back when, the rooms in this guesthouse served as stables, barns, and poultry houses. There is a private wing that includes a double room and two family rooms with shared bathrooms and a separate kitchen.
For a more authentic local experience, you can do a homestay at Blómasetrið, which also has a café and gift shop on-site; or, for a little more privacy, you can stay in one of the apartments. No matter where you're sleeping, though, you can count on incredible views of Mt. Hafnarfjall. At the family's home, you can choose between three rooms: Caring & Friendship (twin room), Love (double room), or Peace (the family room). There is one two-room apartment available to book as well as two studio apartments, Traustastofa and Freyjubrunnur.
They might have hostel prices, but the accommodation options here are far superior and full of local character. There are seven rooms in a lovely house named Gimli, three cottages, and a delightful historic farmhouse (Gamli Bærinn) decorated with vintage furnishing dating back to the early 1900s. The cottages and old farm house have access to a garden sauna and hot pot.
Ferðafélag Akureyrar, or the Touring Club of Akureyri, operates mountain cabins by the Drekagil canyon on the eastern side of the Dyngjufjöll mountains (accessed by mountain route F88 from the north and F910 from the east). Huts provide sleeping-bag accommodations in shared rooms for up to 55 people. Simple facilities include toilets, showers, and a kitchen and dining area with stoves, pots, pans, glasses, and other utensils.
This guesthouse is located on a horse farm within close driving distance to both Gullfoss and Geysir and provides both rooms and wooden cottages for rent. Strokkur erupting in the distance, the beautiful scenery, the friendly Icelandic horses, and the helpful owners all make this place a lovely country retreat.
At this unique and artistic guesthouse on a quiet street, each room is special and made out of driftwood and volcanic stone. The hosts go out of their way to make guests feel welcome and offer airport pickup with advance notice.
Set in an old renovated town house by the harbor, this no-frills guesthouse offers comfortable accommodation just a stone's throw from the best restaurant in town.
The “Golden Sun” guesthouse is conveniently located right next to the harbor with fresh, modest rooms and a shared guest kitchen. There’s a coffee shop downstairs and a gallery selling local handicrafts, hand-knitted sweaters, hats, mittens, and souvenirs.
This beyond-charming guesthouse has five rooms, two communal sitting areas, a library, and a big garden with views of the nearby fjord. This is the place to go if you want to feel like family far away from home.
Endowed with great views of the town and surrounding mountains, plus a lovely garden, this guesthouse has four modern and stylish rooms with shared facilities and a cozy garden cottage.
The family-run Hotel Breiðafjördur, which was the first schoolhouse in the village in 1897 and later a bakery, offers both private rooms and hostel-style accommodations. There is private parking included with your room or bed rate, and each guest gets a complimentary hot beverage—ideally taken on the balcony while reflecting on your day's highlights.
For most of the year, this building provides dormitory housing for high-school kids, but during the summer months, it’s transformed into a modern hotel with beautiful accommodations. In the newer section, guest rooms have private bathrooms, microwaves, and TVs while the older—and cheaper—rooms are more austere. The hotel also has a great breakfast buffet, but it costs extra.
Five buildings in a calm corner of an older part of town make up this hotel with cheery and efficient guest rooms, some with nice views over Reykjavík's colorful rooftops. Its many regular guests choose it for its intimacy and location in the charming Þingholt neighborhood. The hotel's restaurant, Snaps, serves fish and steak from a bistro-type menu, while Bodega bar across the square is a popular spot for a happy-hour drink or to languidly sip spritzes in the sun.
Located in an old 1934 building that once housed the town’s first hotel, this guesthouse has a number of well-appointed rooms with wall art and vintage furnishings. Apart from the famous hospitality, this place is also known for its restaurant run by award-winning Moroccan chef Jaouad Hbib.
The best part about Korpudalur may be how far removed you are from civilization and how close you are to Iceland's biggest attraction: nature. There are both shared and private rooms available at Korpudalur, some with shared bathrooms. It's one of the only places to book a room in the area.
Drive 10 minutes from the center of Borgarnes and you'll find yourself at the cozy Kria Cottages, three accommodations owned by a local family. The cabins are simple, and the location can't be beaten: you're close enough to town to take advantage of shops and bus stops, yet Iceland's renowned natural beauty is just a quick walk away.
This rustic Norwegian wood house has 11 bedrooms with a handful that share bathrooms. Built in 1894, it was renovated in 2004 and currently gives travelers a place to rest after spending the day exploring nearby sights like Hraunfossar, hiking, golfing at Hamarsvöllur, and horseback riding.
A hostel with private rooms and dorms available, Loft is located right off Reykjavík's main shopping streets. The top-floor bar and lounge space hosts a busy rotation of events and activities, while the rooftop patio provides a sun-drenched perch from which you can people-watch from on high. This accommodation is not ideal for families, but it's great for solo travelers.
Ferðafélag Íslands (also known as the Iceland Touring Association) maintains this campsite and two mountain huts in the Nýidalur Valley. There are dorm-style sleeping-bag accommodations for up to 79 people and shared kitchen facilities. Book well in advance: Nýidalur is the most popular travel stop on the Sprengisandur route.
Located in the pretty Herðubreiðarlindir oasis off the main Askja route (F88), this lovely little cabin operated by the Ferðafélag Akureyrar (Touring Club of Akureyri) is around 60 km (37 miles) south of Hrossaborg. Book in advance for a night under the cozy pitched roof, which sleeps up to 25 people with sleeping bags. Basic facilities include toilets, a kitchen, showers, and a dining area.
Right next to the Hvítserkur sea stacks, this spot on Route 711 is an old converted farmhouse surrounded by lovely countryside views. It’s an excellent base for not only nature enthusiasts, but also literature lovers: a famous local story was researched here by Australian author Hannah Kent for her debut novel, Burial Rites. Shared and private rooms are available, with sleeping-bag options and made-up beds on offer. The enchanting misty mornings and soundtrack of chattering ravens come free.
A large mountain cabin, Sigurðarskáli provides basic sleeping-bag accommodations for up to 75 people, as well as toilets, showers, cooking facilities, and a campsite.
This cozy guesthouse is located right in the middle of Stykkishólmur, just minutes away from the harbor and local geothermal swimming pool. The downstairs café feels like stepping into the living room of an Icelandic grandmother, complete with hot chocolate and freshly baked rhubarb crumble. Both shared and private rooms are available and the basement area has a dining space and a kitchen facility that guests can use. Make sure to ask about the local sightseeing and fishing tours, as the friendly owners are always willing to lend a hand.
Operated by the national park rangers who live on-site in summer, this mountain hut on the northwest side of Snæfell sleeps up to 45 people in a large dorm-style room, with just mattresses on the floor (no beds). There is a kitchen and gas-heated showers.
Not to be confused with the mountain hut of the same name in the north by Jökulsá í Fjöllum, this two-story crofter cottage was built in 1930 and is the oldest lodging operated by Ferðafélag Íslands (Iceland Touring Association); it's listed on their website under "Hvítárnes." The second floor is said to be occupied by the ghost of a woman who prefers to haunt young men. The dormitory rooms sleep 30 people (sleeping bags required) with bunk beds downstairs and mattresses in the loft.
