Iceland is waterfalls, glaciers, black sand beaches and hot springs, and most of it lies along a single road: the Ring Road, Route 1, which is 1,322 km long and runs all the way around the island. That sounds manageable, but the distances are long, the weather changes quickly, and outside Reykjavik the hotels are few and far between.
That’s why where you base yourself matters more here than in most places. If you drive out from Reykjavik and back every day, you’ll spend your holiday in the car. Here are my recommendations for seven areas in Iceland, with good hotels in three price ranges in each.
Contents
The Best Areas in Iceland
- Reykjavik - best area for first-time visitors and short stays
- The Golden Circle - best area for geysers, waterfalls and Thingvellir
- The South Coast - best area for waterfalls and black sand beaches
- Vatnajökull & Höfn - best area for glaciers and the Jökulsárlón glacier lagoon
- The East Fjords - best area for anyone driving the whole Ring Road
- Akureyri & North Iceland - best area for Mývatn, town life and the northern lights
- Snæfellsnes - best area for Iceland in miniature close to Reykjavik
Below, I’ll take you through the seven bases in the order you reach them if you drive the Ring Road anticlockwise from Reykjavik, finishing with Snæfellsnes in the west. For each one, you get a map, distances and three places to stay: the finest first, then a mid-range one and finally one for a smaller budget. The drive times are estimates for good roads without stops. You’ll find current road conditions from the Icelandic road authority at umferdin.is.
1. Reykjavik - best area for first-time visitors and short stays 🏙️
- 📍 Distance from the centre: The three hotels here are in postcode 101, within about 500 metres of Austurvöllur square in the middle of the city.
- 🚶 Transport: You can cover the centre on foot. You won’t need the hire car until the day you drive out of the city.
- ✈️ Time from the airport: According to the airport, the airport bus from Keflavík (KEF) takes 45 minutes to the BSÍ bus terminal. Domestic flights use the city’s own airport.
- 💰 Price range: €€ to €€€€. Iceland’s biggest choice of hotels, but also high prices, especially right in the centre.
- 👮 Safety: A very safe city. At weekends, there can be noise from the bars in the centre until late at night.
Almost every trip to Iceland begins and ends in Reykjavik, and the capital is the obvious choice for a long weekend or a stopover on the way across the Atlantic. Here, you’ll have restaurants, museums and the harbour within walking distance, and you can book day trips by bus to the Golden Circle and the South Coast if you don’t want to drive yourself.
As a base for the whole country, though, Reykjavik is a poor choice. It’s around 180 km each way to Vík, and the Jökulsárlón glacier lagoon is so far east that a day trip there is mostly spent on the road. My suggestion is two or three nights in the city and the rest of the trip out in the countryside. The same goes if you’re travelling for the northern lights. They can be seen from Reykjavik on clear nights with strong activity, but your chances are clearly better out in the dark.
Keep track of the two airports. International flights land at Keflavík, and from there the airport bus runs into the city, leaving 40 minutes after each flight has landed. Flights to Akureyri and Egilsstaðir, on the other hand, take off from Reykjavik Airport, which is the country’s main domestic airport and close to the centre. So if you’re flying north on the same day you land, you’ll need to allow time to change airports.
I’ve picked three hotels in the centre, because that’s where you get the most out of a short stay. If you’d like to choose between the city’s neighbourhoods and see more hotels, I’ve written a whole guide to where to stay in Reykjavik. Don’t pick up the hire car until you’re leaving the city. Parking in the streets around the hotels costs money, and you won’t need the car while you’re in town.
Places to Stay in Reykjavik
Iceland Parliament Hotel - five-star hotel with a spa on Austurvöllur square
Iceland Parliament Hotel is on Austurvöllur, the square in front of the Icelandic parliament, and you can’t get more central than that in Reykjavik. It’s a five-star hotel in Hilton’s Curio Collection with a restaurant, a bar, a gym and a spa with a sauna and a hot tub.
The hotel suits you if you want to treat yourself on a short trip and walk everywhere. The room types include Classic King rooms of 25 square metres and a junior suite with access to the spa. Otherwise, the spa normally costs extra. Not every room has a view: one guest was given a room that only looked out on a roof and a wall, so choose the category with a view of the square if that matters to you.
One guest writes on Booking.com: “Fantastic location, comfortable bed, clean room, great breakfast.”
See photos and book Iceland Parliament Hotel here.
Exeter Hotel - four-star hotel with a sauna close to the harbour
Exeter Hotel is on Tryggvagata down by the harbour, just under 400 metres from Austurvöllur. The hotel has a restaurant, a bar, a sauna, a steam room and a gym, and reception is open 24 hours a day.
It’s my suggestion if you want a modern hotel in the centre without paying five-star prices. The smallest rooms are 17 square metres, so choose a larger category if there are two of you with big suitcases. Breakfast costs extra, and one guest didn’t think it was good at all. Expect a bit of noise from the nearby bars in the evening, too.
One guest points out on Booking.com: “We loved the location of the hotel and the staff are so, so friendly.”
See photos and book Exeter Hotel here.
Midtown Reykjavik by Heimaleiga - simple rooms with self check-in by Laugavegur
Midtown Reykjavik is my budget pick in the centre, although staying in the middle of Reykjavik is never really cheap. It’s on Vegamótastígur, less than a hundred metres from the main street, Laugavegur, and about 500 metres from Austurvöllur. There’s no 24-hour reception here. You check yourself in, and in return you usually pay less than at the hotels around it.
The rooms range from a small double of 14 square metres to rooms for three and four people, and there’s a lift in the building. It suits you if you mostly need somewhere to sleep and you’re out all day. Don’t expect hotel-style service. Guests mention noise from the nearby bars and small rooms in the cheapest categories.
One guest sums up their stay on Booking.com: “Great location, easy access, simple clean room, good value.”
See photos and book Midtown Reykjavik by Heimaleiga here.
2. The Golden Circle - best area for geysers, waterfalls and Thingvellir ♨️
- 📍 Distance from the centre: There’s no town here that acts as a centre. The hotels are scattered between Thingvellir, Laugarvatn, Geysir and Gullfoss, and the map shows the area around Geysir.
- 🚗 Transport: You’ll need a hire car. The route is about 250 km from Reykjavik and back, and the sights are a long way apart.
- ✈️ Time from the airport: Allow a good two hours’ drive from Keflavík (KEF) to Geysir. That’s an estimate.
- 💰 Price range: €€ to €€€€. Few hotels and high prices, especially in summer. The guesthouses at Laugarvatn are usually the cheapest.
- 👮 Safety: A safe area. Stay on the paths at the hot springs, because the water is boiling, and drive carefully on icy roads in winter.
The Golden Circle is Iceland’s classic circular route: Thingvellir National Park (Þingvellir in Icelandic), the hot springs at Geysir and the Gullfoss waterfall. According to Visit Iceland, the route is about 250 km from Reykjavik and back, which is why most people drive it as a day trip. I’d rather spend the night out here.
With a night at Geysir or Laugarvatn, you can see the Strokkur geyser early in the morning or late in the evening, once the day trippers have gone home. Strokkur erupts every 8 to 10 minutes and sends boiling water up to 30 metres into the air, so you won’t have to wait long. Gullfoss is one of the country’s most visited waterfalls, so you’ll notice the difference if you come early or late. Thingvellir is on the UNESCO World Heritage List. The Althing, Iceland’s parliament, met here in the open air from 930 to 1798.
See hotels on the Golden Circle here.
Choose your base according to where you’re heading afterwards. If you stay by Geysir and Gullfoss, you’ll have the two big sights right on your doorstep and Thingvellir as your first or last stop. Laugarvatn is halfway along the route and is usually cheaper. If you’re continuing to the South Coast, you don’t need to drive back to Reykjavik. Instead, you drive south to the Ring Road at Selfoss, which is 57 km from the capital, and you can see the Kerið crater and the bishop’s seat of Skálholt along the way.
One or two nights are enough. In winter, the area is a good place to see the northern lights, because it’s dark as soon as you’re away from the hotel’s lights. There aren’t many places to eat, so find out in advance whether your hotel has a restaurant or whether you’ll need to drive for dinner.
Places to Stay on the Golden Circle
Hotel Geysir - smart hotel with large rooms right by the geysers
Hotel Geysir is right by the hot springs in Haukadalur, a few hundred metres from Strokkur. It’s the finest hotel in the area, with a restaurant, a bar and a lift, and the rooms are large: a standard room is 29 square metres, and the Geysir Suite is 87.
I’d choose it if your budget stretches to it and you want the geysers almost to yourself in the morning and evening. There are also rooms with a balcony and rooms with a sofa bed for families. There’s no spa here, and guests mention that the food is expensive. That’s hard to avoid when there are so few other places to eat nearby.
One guest writes about the hotel on Booking.com: “Excellent location, excellent staff, outstanding architecture.”
See photos and book Hotel Geysir here.
Hotel Gullfoss - simple country hotel with a hot tub close to the waterfall
Hotel Gullfoss is out in the countryside, a few kilometres from the Gullfoss waterfall and less than ten kilometres from Geysir. The hotel has a restaurant, a bar and a hot tub, and parking is free, with a charging point for electric cars. The rooms are doubles of 19 square metres and Superior rooms of 25.
It’s a good choice for couples who want a quiet stay close to the two big sights without paying Geysir prices. The hotel is simple, and the guests say so themselves. It stands on its own, so expect to have dinner in the restaurant.
Here’s how one guest describes it on Booking.com: “The location is excellent and whilst the hotel is quite simple, it’s very clean and comfortable.”
See photos and book Hotel Gullfoss here.
Bjork Guesthouse - guesthouse with en-suite rooms in Laugarvatn
Bjork Guesthouse is in the small town of Laugarvatn, halfway along the route between Thingvellir and Geysir. All rooms have their own bathroom, and there are both double rooms of 18 square metres and family rooms. Parking is free, and there’s a charging point for electric cars.
Bjork is the cheapest of my three suggestions on the Golden Circle and also one of the best-reviewed places in this guide. Breakfast costs extra, and there’s neither a restaurant nor a shared kitchen, so you’ll need to find dinner elsewhere in town. Guests also miss having a shared lounge.
One guest writes about the place on Booking.com: “Lovely little guest house and they offered several extras like discounts on local attractions which we loved.”
See photos and book Bjork Guesthouse here.
3. The South Coast - best area for waterfalls and black sand beaches 🌊
- 📍 Distance from the centre: Here, the South Coast means the stretch along the Ring Road from Hella to Vík. The map shows Vík, which you can get around on foot. At Hella, the hotels are out in the countryside.
- 🚗 Transport: You’ll need a hire car. The big stops are right by the Ring Road, which is paved all the way.
- ✈️ Time from the airport: Allow around two hours’ drive from Keflavík (KEF) to Hella and a good three hours to Vík. Both are estimates.
- 💰 Price range: €€ to €€€€. High demand and few beds make Vík expensive in summer. The guesthouses around Hella are usually cheaper.
- 👮 Safety: The waves at Reynisfjara beach are extremely dangerous and have cost visitors their lives. Keep well back from the water.
The South Coast is the stretch with many of Iceland’s best-known sights. The waterfalls Seljalandsfoss, Gljúfrabúi and Skógafoss line up along the Ring Road, and at Vík the black sand beaches begin, with the Reynisdrangar sea stacks out in the ocean. According to Katla Geopark, Vík is Iceland’s southernmost village and around 180 km from Reykjavik.
You can do it as a day trip from the capital, but then most of the day is spent in the car. With one or two nights out here, you’ll have time to walk behind Seljalandsfoss, climb the steps beside Skógafoss and drive out to the Dyrhólaey nature reserve without watching the clock. Bring waterproofs for the waterfalls, because the spray will get you wet.
See hotels in Vík on the South Coast here.
You’ve got two obvious bases. Around Hella and Hvolsvöllur, about 100 km from Reykjavik, you’re closest to the capital and to the waterfalls. Vík is further east and the right choice if you want to be on Reynisfjara early in the morning and continue towards Vatnajökull the next day. The beach is just west of the village. Vík has only around 320 inhabitants, so the choice of places to eat is small, and it’s wise to book a table in high season. I’d choose Hella on a short trip and Vík if you’re continuing east.
Book early. Visit Iceland says outright that it’s often hard to find available rooms between Selfoss and Höfn in the summer high season. The coast road can be driven all year, but storms can close stretches at short notice, so build an extra day into your plan in winter.
Places to Stay on the South Coast
Hotel Rangá - luxury hotel with an observatory and northern lights wake-up calls near Hella
Hotel Rangá stands on its own by the salmon river Rangá, seven to eight kilometres from Hella. It’s a luxury hotel known for its stargazing observatory. You can be woken when the northern lights appear, and the hotel has outdoor hot tubs and a restaurant serving Nordic-inspired food.
It’s the hotel for a special occasion and for anyone travelling for the northern lights. The rooms range from standard rooms of 18 square metres to suites of 70. The price is very high, and some guests think the rooms need updating. There’s no lift. Seljalandsfoss is about 25 km away as the crow flies.
Short and sweet from one guest on Booking.com: “Location pleasant and quiet.”
See photos and book Hotel Rangá here.
Hótel Kría - modern hotel with a restaurant in Vík
Hótel Kría is in Vík, a few minutes’ walk from the middle of the village. The hotel has a restaurant, a bar, a lift and a 24-hour reception, and some of the rooms have mountain views. Parking is free, and there’s a charging point for electric cars.
Kría is my suggestion if you want to stay in Vík itself and have a proper hotel to come back to after a day on the coast. Guests particularly praise the design. The double rooms are 19 square metres, and one guest finds them small and would have liked to be able to turn down the heating in the bathroom. Prices in Vík usually rise sharply in summer, so book well ahead.
One guest highlights the design on Booking.com: “Loved the design and feeling to the hotel.”
See photos and book Hótel Kría here.
Loa’s Nest - family-run guesthouse with a shared kitchen near Hella
Loa’s Nest is out in the countryside, five to six kilometres from Hella, and has an unusually high guest rating. The rooms have their own bathroom, and there are double rooms and rooms for three. You can cook your own meals in the shared kitchen, and there’s a shared lounge.
Loa’s Nest is the place for you if you’re driving and would rather have peace and quiet than a restaurant and a bar, and it’s the cheapest of the three. Breakfast costs extra, and the host family gets a lot of praise. One guest mentions that too much light gets into the room at night, so bring a sleep mask in the bright summer months.
One guest puts it briefly on Booking.com: “Excellent, clean and cosy guesthouse.”
See photos and book Loa’s Nest here.
4. Vatnajökull & Höfn - best area for glaciers and the Jökulsárlón glacier lagoon 🧊
- 📍 Distance from the centre: The map shows the Jökulsárlón glacier lagoon. The hotels are scattered along the Ring Road between Skaftafell and Höfn, which is about 79 km east of the lagoon.
- 🚙 Transport: You’ll need a hire car. The distances are long, so choose your hotel according to what you most want to see.
- ✈️ Time from the airport: Allow five to six hours’ drive from Keflavík (KEF) to Jökulsárlón. That’s an estimate.
- 💰 Price range: €€ to €€€€. The hotels near the lagoon are expensive. The guesthouses around Höfn are usually the cheapest.
- 👮 Safety: Stay on land at the lagoon, and only go onto the glacier with a guide.
South-east Iceland lies in the shadow of Vatnajökull, Europe’s largest glacier. The national park around it was added to the UNESCO World Heritage List in 2019 and covers almost 14 per cent of Iceland. For most visitors, the main goal is the Jökulsárlón glacier lagoon, where icebergs drift around in the water right beside the Ring Road.
On the other side of the road is Fellsfjara beach, where the ice washes up on the black sand, and a little further west is the smaller lagoon, Fjallsárlón. On both lagoons, you can take a boat out among the icebergs. At Skaftafell, the national park has a visitor centre that’s open all year, and from here short, easy trails lead to the Svartifoss waterfall and the Skaftafellsjökull glacier tongue.
See hotels in Höfn near Vatnajökull here.
The area is too far away for a day trip from Reykjavik, and even from Vík it’s a couple of hours’ drive. So set aside at least one night, and ideally two. The towns are far apart: according to the national park, it’s 70 km from Skaftafell to Kirkjubæjarklaustur in the west and 130 km to Höfn in the east. If you stay between Skaftafell and Jökulsárlón, you’ll have the glaciers right outside your window and can be at the lagoon early in the morning. Höfn is a proper town with a harbour, shops and restaurants, and it’s known for its lobster.
Höfn is also the natural place to spend the night if you’re driving the whole Ring Road, because from here the road continues up through the East Fjords. The choice of hotels is small along the whole stretch, and the best ones usually sell out first in summer. In winter, storms can close the road, so check the weather and the road authority’s map before you set off.
Places to Stay near Vatnajökull & Höfn
Hótel Jökulsárlón - hotel with a sauna, hot tubs and glacier views close to the lagoon
Hótel Jökulsárlón is at Reynivellir, about nine kilometres east of the glacier lagoon. There’s a restaurant, a bar, a gym, a sauna and hot tubs. The double rooms are 23 square metres, some with a view of the glacier, and there are suites of 50 square metres.
It’s my first choice if you want to treat yourself after a long day of driving and be at the lagoon shortly after breakfast. The price is high, and breakfast isn’t always included. Guests are very enthusiastic about the hotel itself, while one guest felt the food didn’t quite match up.
One guest writes on Booking.com: “What a beautiful property with an amazing view.”
See photos and book Hótel Jökulsárlón here.
Fosshotel Glacier Lagoon - four-star hotel between Skaftafell and Jökulsárlón
Fosshotel Glacier Lagoon is at Hnappavellir, roughly halfway between Skaftafell and Jökulsárlón. The four-star hotel has a restaurant, a bar, a sauna and a hot tub, and there’s everything from double rooms of 20 square metres to family rooms and suites.
I’d choose it if you want to both hike in Skaftafell and see the lagoon, because you’re staying right between the two. Choose your room with care: the Economy rooms are on the ground floor and have no view. Guests also mention that the facilities can get crowded. Breakfast isn’t always included in the price either.
One guest says on Booking.com: “The property is exactly as on the pictures, even better.”
See photos and book Fosshotel Glacier Lagoon here.
Seljavellir Guesthouse - guesthouse with en-suite rooms just outside Höfn
Seljavellir Guesthouse is close to the Ring Road, five to six kilometres north of Höfn and about eight minutes’ drive from the town centre. All rooms have their own bathroom, and there are double rooms of 17.5 square metres and rooms for three, several with mountain views. Parking is free.
Seljavellir is a practical stop if you’re continuing through the East Fjords the next day, and the cheapest of my three suggestions. The rooms are small, and guests miss having a kettle. Breakfast costs extra, and you’ll eat dinner in Höfn. It still isn’t really cheap, though: one guest thinks the price is too high, and unfortunately that goes for most things on this coast.
One guest writes about their stay on Booking.com: “Our room was clean and quiet.”
See photos and book Seljavellir Guesthouse here.
5. The East Fjords - best area for anyone driving the whole Ring Road ⛰️
- 📍 Distance from the centre: Egilsstaðir is the region’s largest town. The three hotels are in town or no more than two kilometres outside it.
- 🚗 Transport: You’ll need a hire car. It’s about half an hour’s drive to the fjord town of Seyðisfjörður.
- ✈️ Time from the airport: Egilsstaðir has its own airport (EGS) with daily flights from Reykjavik. The flight takes around an hour.
- 💰 Price range: €€ to €€€. Few hotels, and prices are usually markedly higher in summer than during the rest of the year.
- 👮 Safety: Safe and quiet. The mountain roads can be icy or closed in winter.
The East Fjords are the easternmost stretch of the Ring Road, with deep fjords, small fishing villages and long stretches with little more than road and views. Egilsstaðir is the region’s largest town and has everything you need along the way. The town lies on the long lake Lagarfljót, which is said to have its own lake monster.
I wouldn’t travel here on a short holiday, but if you’re driving the whole Ring Road, you’ll need a night here. According to the local tourist board, it’s around 650 km from Reykjavik along the Ring Road and about eight hours’ drive without stops. From Höfn, the road winds in and out of the fjords, so the leg takes longer than the map suggests. The gravel road over the Öxi pass is a shortcut which, according to Visit Iceland, saves 68 km between Djúpivogur and Egilsstaðir.
See hotels in Egilsstaðir in the East Fjords here.
Egilsstaðir is first and foremost a practical town. It’s the surroundings you stay an extra day for. Nearby is the village of Hallormsstaður, in the middle of Iceland’s oldest national forest, and five minutes’ drive from town you can bathe in the warm pools at Vök Baths. The fjord town of Seyðisfjörður is about half an hour’s drive away, and it’s around an hour to the Stuðlagil canyon.
Seyðisfjörður is also the town where the ferry Norröna docks. It sails from Hirtshals in Denmark via the Faroe Islands, so travellers driving from mainland Europe can bring their own car and start the trip around Iceland here. If you’d like to break the journey on the way, you can read my guide to where to stay in the Faroe Islands. If you’re short on time, you can fly here. There are daily departures from Reykjavik, and the flight takes around an hour.
Places to Stay in the East Fjords
Lake Hotel Egilsstadir - finest hotel in town with a spa by Lake Lagarfljót
Lake Hotel Egilsstadir is by Lake Lagarfljót on the edge of town, less than a kilometre from the centre. The East Fjords have no real luxury hotels, but this is the closest you’ll get: a hotel with a restaurant, a bar, a lift and a spa with a sauna and a hot tub.
The rooms range from doubles of 20 square metres to Deluxe rooms of 40, and several have views over the lake. It’s my suggestion if you want to end a long day of driving with a good dinner and a hot bath. Access to the spa costs extra, and guests describe some of the rooms as a little dated. In summer, the price usually rises sharply.
One guest writes after their stay on Booking.com: “The hotel and staff were lovely.”
See photos and book Lake Hotel Egilsstadir here.
Hótel Eyvindará - quiet country hotel with cabins two kilometres from town
Hótel Eyvindará is out in the countryside, about two kilometres from Egilsstaðir, with views over the town. You can choose between regular rooms and small cabins and bungalows, all with their own bathroom, and the hotel has a bar and a hot tub. Parking is free.
It’s a good choice for couples and families travelling by car who want a quiet stay that’s still close to town. Breakfast costs extra. Choose a room over a bungalow in the cold months: one guest writes that the bungalow wasn’t heated.
One guest describes the atmosphere on Booking.com: “The atmosphere was fairytale-like and very charming.”
See photos and book Hótel Eyvindará here.
Lyngás Guesthouse - clean guesthouse with shared bathrooms and a shared kitchen in the middle of town
Lyngás Guesthouse is in the middle of Egilsstaðir, right by the Ring Road, with a supermarket 200 metres away. It’s a simple guesthouse where all rooms share bathrooms and you cook for yourself in the shared kitchen. There are rooms for two, three and four people and free parking.
Lyngás is for you if you just need a good night’s sleep before moving on the next morning and want to keep costs down. Guests particularly praise the cleanliness and the kitchen. The smallest double room is only seven square metres, so choose the standard one if you’re travelling with luggage. Guests also mention that the bathrooms are small and that there can be a bit of noise from the road.
One guest keeps it short on Booking.com: “Lovely guesthouse, really clean.”
See photos and book Lyngás Guesthouse here.
6. Akureyri & North Iceland - best area for Mývatn, town life and the northern lights 🌌
- 📍 Distance from the centre: The three hotels are in the centre, within about 400 metres of Ráðhústorg square, and everything is within walking distance.
- 🚌 Transport: The town is small, and the town buses are free. For Mývatn, you’ll need a hire car or a guided tour.
- ✈️ Time from the airport: Akureyri has its own airport (AEY), with flights from Reykjavik taking about 40 minutes. By car, it’s 386 km and around five hours from Reykjavik.
- 💰 Price range: €€ to €€€. Often a little cheaper than Reykjavik and the South Coast, and the choice is bigger than in the small towns around it.
- 👮 Safety: A safe town. In winter, it’s the snow and ice on the roads you need to watch out for.
Akureyri is known as the capital of North Iceland, even though only around 19,000 people live here. The town has what the small places along the Ring Road lack: cafés, restaurants, a large swimming pool and a botanical garden that the North Iceland tourist board calls the northernmost in the world. That makes it the obvious place for a rest day if you’re driving all the way round.
The big natural sights are east of town. It’s 85 km and about an hour’s drive to Lake Mývatn, where you’ll find the Dimmuborgir lava field, the pseudocraters at Skútustaðir, the bubbling mud pools at Námaskarð and a warm nature bath. You can easily stay in Akureyri and drive out there on a day trip, but if you want two full days by the lake, I’d spend a night out there. In winter, Hlíðarfjall near Akureyri is one of Iceland’s well-known ski areas.
North Iceland is also a good place to see the northern lights. The season runs from September to April, and you need darkness and a clear sky. The Icelandic Met Office has an aurora forecast with a cloud cover map, so you can see where the sky is clear. In summer, it’s the opposite: from late May to late July, it hardly gets dark at all.
You don’t have to drive all the way up here. The flight from Reykjavik takes about 40 minutes, while the drive along the Ring Road is, according to the town’s tourist office, 386 km and takes around five hours. In winter, I’d fly. On a tour of the country, I’d give Akureyri two nights, so there’s time for both the town and a full day at Mývatn.
Places to Stay in Akureyri
Skald Akureyri - four-star hotel with a gym in the centre
Skald Akureyri is a four-star hotel in Hilton’s Curio Collection. It’s on Hafnarstræti, about 400 metres from Ráðhústorg, and has a restaurant, a bar, a gym and a 24-hour reception. Parking is free, and there’s a charging point for electric cars.
The rooms start at 20 square metres, and there are apartment suites with two and three bedrooms for families and groups. Guests give the hotel very high ratings. It’s my suggestion if you want the best possible stay in Akureyri. There’s no hot tub here, and one guest missed having one.
One guest sums it up on Booking.com: “New, comfortable and great location.”
See photos and book Skald Akureyri here.
Hotel Kea - classic hotel in the middle of the pedestrian street
Hotel Kea is in the middle of Akureyri’s pedestrian street, about 200 metres from Ráðhústorg. The hotel has a restaurant, a bar, a gym, a lift and a 24-hour reception, and there’s everything from single rooms to rooms for three.
It’s the safe mid-range choice if you want to stay right in the centre. Choose one of the larger categories if space matters: the standard rooms are 18 square metres, and one guest describes both the room and the bathroom as very small. The hotel doesn’t have its own car park, so you’ll need to find a space in the surrounding streets.
One guest says of their stay on Booking.com: “Nice rooms, comfortable beds, good breakfast spread.”
See photos and book Hotel Kea here.
Torg Guesthouse - simple rooms and apartments by Ráðhústorg
Torg Guesthouse is on Brekkugata, right by Ráðhústorg square, so you’re staying in the middle of town. There are small double rooms from 10 square metres and apartments with one and two bedrooms, and you check yourself in.
Torg is the budget choice in Akureyri and suits you if you want to stay centrally and don’t need a reception or a restaurant. There’s no parking at the property. The location has a downside, too: one guest writes that there’s a nightclub opposite and that it can be a bit noisy. Bring earplugs if you’re a light sleeper.
One guest highlights the location on Booking.com: “The guest house is in a perfect location.”
See photos and book Torg Guesthouse here.
7. Snæfellsnes - best area for Iceland in miniature close to Reykjavik 🏔️
- 📍 Distance from the centre: The peninsula is 90 km long, and the hotels are scattered across small towns and out along the coast. The map shows Grundarfjörður by Mount Kirkjufell.
- 🚗 Transport: You’ll need a hire car. The sights are spread along the coast all the way around the peninsula.
- ✈️ Time from the airport: The peninsula is about two hours’ drive north of Reykjavik. From Keflavík (KEF), allow just under three hours, and that’s an estimate.
- 💰 Price range: €€ to €€€€. Few hotels and high prices in summer. The guesthouses in the fishing villages are usually the cheapest.
- 👮 Safety: A safe area. The coast has steep cliffs, and the roads can be icy in winter.
Snæfellsnes is often called Iceland in miniature, because the peninsula has a bit of everything: a glacier, lava fields, beaches, cliffs and small fishing villages. According to Visit Iceland, it’s only two hours’ drive north of Reykjavik, which makes it my top pick if you want to see a lot in a few days without driving the whole Ring Road.
At the tip of the peninsula is the national park, which was established in 2001 around the Snæfellsjökull glacier. On the north coast, Mount Kirkjufell rises beside the harbour town of Grundarfjörður, and on the south coast a 2.5 km coastal path runs between the two old fishing hamlets of Arnarstapi and Hellnar. At Búðir, a black wooden church stands alone on the edge of a lava field.
See hotels on Snæfellsnes here.
You can see the highlights in a day, but with two or three days you’ll do it at a completely different pace. I’d choose one base and drive around the peninsula from there. Stykkishólmur is the peninsula’s largest town and known for its colourful Danish-style houses, and from here the car ferry Baldur sails to Brjánslækur in the Westfjords. Grundarfjörður is smaller and closer to the national park, while the south coast at Búðir is the quietest place to stay.
The peninsula is easy to fit into the rest of your trip. Put it at the beginning or the end, or take it as a short break in its own right along with a couple of nights in Reykjavik. The Ring Road doesn’t come out here, so the peninsula is a detour you need to set time aside for. In winter, the days are short, so plan fewer stops than you would in summer and start your day as soon as it gets light.
Places to Stay on Snæfellsnes
Hotel Búdir - classic country hotel by the black church and the beach
Hotel Búdir stands entirely on its own on the peninsula’s south coast, a few steps from the black church, with the beach and the lava field as its neighbours. The hotel has a restaurant, a bar and a lift, and the rooms have views of the glacier, the lava or the sea.
It’s my pick for the most romantic address on the peninsula and my choice for couples who want peace and good food. There’s everything from small loft rooms of 16 square metres to suites. The rooms aren’t large, and some have small bathrooms. Breakfast isn’t included in the room rate, and the hotel is a long way from everything else, so expect to eat here.
One guest describes the place on Booking.com: “Stunning views and beautiful decor all around.”
See photos and book Hotel Búdir here.
Fosshotel Stykkisholmur - three-star hotel with a restaurant in the peninsula’s largest town
Fosshotel Stykkisholmur is on Borgarbraut, a few hundred metres from the centre of Stykkishólmur. It’s a three-star hotel with a restaurant, a bar, a lift and a 24-hour reception, and parking is free, with a charging point for electric cars. There are double rooms of 18 and 23 square metres as well as family rooms and a suite.
The hotel suits you if you want to stay in a town with a harbour and places to eat and have a fixed base for trips around the peninsula. The interior is simple, and guests describe it as a little dated. One guest found that the restaurant couldn’t take the hotel’s own guests because it had a tour group in, so book a table when you check in.
One guest writes about their room on Booking.com: “Great room, it was big and cosy, the bed was very comfortable.”
See photos and book Fosshotel Stykkisholmur here.
Kirkjufell Guesthouse and Apartments - guesthouse and apartments close to Kirkjufell
Kirkjufell Guesthouse and Apartments is at Grund, about 2.5 km east of Grundarfjörður, and several of the rooms and apartments have a view of Kirkjufell. There are cheap rooms with a shared bathroom, rooms with their own bathroom and apartments with two bedrooms, and you can cook in the shared kitchen.
This is the cheapest of my three suggestions on Snæfellsnes, and it’s only a few minutes’ drive from the peninsula’s best-known mountain. Before you book, find out whether the room has its own or a shared bathroom. The walls are thin, and one guest writes that it’s easy to hear the other guests walking and talking.
One guest writes about their apartment on Booking.com: “The ease of check-in, the view was amazing, the apartment itself was spacious, clean!”
See photos and book Kirkjufell Guesthouse and Apartments here.
Where should you avoid staying in Iceland?
I wouldn’t stay in Reykjavik for the whole trip if the plan is to see the South Coast and the glacier lagoon. The distances are too long for day trips, and you’ll end up driving the same stretches several times. I wouldn’t change hotels every single night either. Two nights in each place gives you a buffer for bad weather, and you’ll need it.
The Westfjords and the Highlands aren’t among my seven bases. The Westfjords are beautiful, but according to the local tourist board it’s around 455 km and five to six hours’ drive from Reykjavik to Ísafjörður, so they need a trip of their own. The F-roads in the Highlands are normally closed from mid-September until June or July and require four-wheel drive. SafeTravel warns that not every four-wheel-drive vehicle can handle them and that no insurance covers damage to the car when you cross a river.
With three to four days, I’d stay in Reykjavik and add a single night on the Golden Circle or the South Coast. With a week, you can cover the South Coast and Vatnajökull at a relaxed pace, with bases at Hella or Vík and by the glacier lagoon, and you can finish on Snæfellsnes. The whole Ring Road is 1,322 km, and Visit Iceland recommends at least seven days. I’d take ten if you can.
Choose your season before you choose your route. In summer, it’s light almost around the clock, the Highland roads open, and prices are at their highest. It’s Iceland’s busiest season, and hotels and hire cars often sell out several months in advance, so book your nights outside Reykjavik first. From September to April, you can see the northern lights, but the days are short, and wintry road conditions can occur in both spring and autumn.
The Ring Road is paved all the way and kept open all year, but bad weather can close stretches temporarily. The speed limit is 90 km/h on paved roads and 80 on gravel outside towns, headlights must be on at all times, and off-road driving is strictly forbidden. Check the weather and the roads every morning, and always have a plan B.
If you like trips where the car and the landscape are half the experience, you can also read my guide to where to stay in the Scottish Highlands. It’s the same kind of holiday, with short driving days, few hotels and weather that decides part of the programme.
Travel ressources & websites I use all the time 👇
• Booking.com has the best offers on hotels and unique places to stay
• GetYourGuide is the best place to book tours & activities with free cancellation
• Welcome Pickups is the best & safest place to pre-book airport transfers
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