The quick answer is Flybus. It runs according to flight arrivals, including at night, and takes you to the BSÍ bus terminal or on to a stop close to your hotel. If you’re hiring a car for the rest of your trip, you can pick it up at the airport and drive straight off. Here you’ll find prices, journey times and how to get back to the airport. Prices are given in Icelandic krónur with the approximate amount in pounds in brackets.

Quick overview

• Flybus to BSÍ: 3,999 ISK (around £25), about 45 minutes to the BSÍ bus terminal, runs after every arrival.
• Flybus to your hotel: 5,299 ISK (around £33), the same coach with a change at BSÍ to a minibus that drops you at a stop close to your hotel.
• Strætó bus 55: 2,400 ISK (around £15), about 50 minutes to Fjörður in Hafnarfjörður and about 70 minutes to BSÍ on the services that go all the way in, 12 departures on weekdays and fewer at weekends.
• Taxi: 22,500 ISK (around £140) at a fixed price for up to four people when you book in advance with Hreyfill, about 45 minutes door to door.
• Hire car: the price depends on the car and rental period, about 45 minutes along Route 41 to Reykjavik.
• Blue Lagoon on the way: about 20 minutes by car from the airport, and the Destination Blue Lagoon bus runs from the airport to the lagoon and on to Reykjavik.

How to find transport at the airport

Keflavík has one terminal, and once you’ve collected your luggage and gone through customs, you come out into the arrivals hall. This is where you’ll find the airport coach desk and ticket machines, as well as the desks of the big car hire companies. The airport has gathered all the options on its page about transport to and from the airport.

Flybus stops just outside the terminal. Turn left as you leave the arrivals hall and you’ll see the coaches lined up in rows out on the forecourt. Strætó’s bus 55 stops at the KEF Arrivals stop in the Bus B waiting area on the arrivals side, and there’s a covered walkway from the terminal out to the bus.

Taxis wait just outside the arrivals hall, and they’re available around the clock. Hire cars from the companies with desks in the terminal are parked in the rental car park a few minutes’ walk from arrivals. If you’ve hired from a company without a desk, you’ll be picked up by a shuttle bus from the bus area outside the terminal or met by a member of staff in the arrivals hall, so read your confirmation before you land.

1. Flybus to BSÍ and your hotel

Flybus is the airport coach most people take, and it runs between the airport and the BSÍ bus terminal in Reykjavik. Departures from the airport are timed to match flights: the coach leaves about 40 minutes after each landing, including at night, and when lots of planes land at the same time, extra coaches run. If your flight is delayed, your ticket simply covers the next coach, with no need to rebook.

The journey to BSÍ takes about 45 minutes. On the way, the coach stops at Aktu Taktu in Garðabær and at Fjörukráin in Hafnarfjörður if there are passengers for those stops. You can bring two suitcases of up to 23 kilos each, plus hand luggage, at no extra cost.

You may come across the name Airport Direct in older guides. Its website now redirects you to Flybus, and Gray Line also refers you to Flybus for airport transport, so Flybus is effectively the airport coach to look out for.

Price and tickets

A ticket to BSÍ costs 3,999 ISK (around £25) for an adult. If you want to continue to a stop close to your hotel, the ticket costs 5,299 ISK (around £33). Young people aged 6 to 15 pay 1,999 ISK (around £12) to BSÍ and 2,649 ISK (around £16) including the hotel transfer, and children aged 1 to 5 travel free.

If you buy a return in one go, you automatically get a small discount, and groups of four or more get a discount too. Special luggage costs an extra 1,500 ISK (around £9). You’ll find all the fares on Flybus’ price page.

Where to buy your ticket

The easiest option is to buy your ticket online before you travel, so you skip the queue in the arrivals hall. You can cancel free of charge up to 24 hours before departure. In the arrivals hall, you can also buy a ticket at the Flybus desk or from the machines after customs. Flybus accepts cards, Apple Pay and Google Pay, and cash in Icelandic krónur is only accepted at the desk at the airport.

If you’d rather have the coach sorted in the same booking as the rest of your activities, you can book a coach transfer between the airport and BSÍ or the city centre here.

Where should you get off?

BSÍ: The bus terminal is at Vatnsmýrarvegur 10, just south of the centre. From here it’s about a 15-minute walk into the city centre. The terminal has toilets, a place to eat and luggage lockers available around the clock, in case you have time to kill before you can check in.

The stop by your hotel: If you’ve bought a ticket including the hotel transfer, you change at BSÍ to a smaller bus, and staff will show you which one to take. Many hotels in the centre aren’t served door to door but have a numbered stop nearby, such as stop 1 by the City Hall, 6 by Safnahúsið and 8 by Hallgrímskirkja. Enter your hotel on Flybus’ page about stops to see which stop is yours.

The stops are in Miðborg, which is the area I recommend for most people, and you can see hotels in Miðborg here. If you’re unsure about the neighbourhood, read my guide to where to stay in Reykjavik.

2. Strætó bus 55 to Hafnarfjörður and BSÍ

Bus 55 is the public bus between the airport and the capital area. It doesn’t run according to flights but to a fixed timetable, so it works best if you land during the day and aren’t in a hurry. On weekdays there are 12 departures from the airport, from 6.27am to 10.54pm. On Saturdays it runs roughly every two hours from 6.54am, and on Sundays every two hours from 10.54am.

The catch is the final stop. Most services terminate at the Fjörður shopping centre in Hafnarfjörður, which the bus reaches in about 50 minutes. Only a few weekday services continue into Reykjavik via Kringlumýrarbraut, Hlíðar and Klambratún to BSÍ, and they take about 70 minutes. So check the sign on the bus, and look at Strætó’s page about bus 55 before you travel.

At Fjörður you change to city bus 1, which runs via Klambratún and Hlíðar to Lækjartorg and Harpa in the centre. The journey takes about 30 minutes to Lækjartorg, and on weekdays bus 1 runs every 10 to 15 minutes during the day and every half hour in the evening. With the change, allow around an hour and a half from the airport to the centre.

Price and tickets

A ticket from the airport to Garðabær and Reykjavik costs 2,400 ISK (around £15), and to Fjörður in Hafnarfjörður it costs 1,800 ISK (around £11). Young people aged 12 to 17 and people over 67 pay half, so 1,200 ISK (around £7) to Reykjavik, and children aged 11 and under travel free.

If you need to change to bus 1 at Fjörður, ask the driver whether your ticket is valid for the onward journey. Otherwise, a standard city ticket costs 690 ISK (around £4) when you pay by card on the city bus. The fares are listed at Strætó.

Where to buy your ticket

You pay when you board bus 55. The bus accepts bank cards and cash, and you can’t reserve a seat in advance. On the city bus, you hold your bank card or phone against the card reader as you board.

Where should you get off?

Klambratún: The stop by the park with Kjarvalsstaðir is in Hlíðar and is handy if you’re staying at the eastern end of the centre or around Hlemmur. You can reach it on the services that run all the way to BSÍ, or on bus 1 from Fjörður.

BSÍ: The bus terminal is about a 15-minute walk from the centre. From here you can walk or take a taxi for the last stretch.

Fjörður: The shopping centre in the middle of Hafnarfjörður. If you’re staying in Hafnarfjörður, you’ve arrived, and you can see hotels in Hafnarfjörður here. If you’re heading on to Reykjavik, change here to bus 1.

3. Taxi and private transfer

Taxis wait outside the arrivals hall around the clock, and the journey to Reykjavik takes about 45 minutes, though longer in rush hour and bad weather. You’re free to choose which taxi you take, and the driver must accept payment by card and phone. The airport recommends that you ask for a price estimate or agree the fare before you set off, and that you ask for a receipt.

The most predictable option is to book in advance. The taxi company Hreyfill runs between the airport and Reykjavik at a fixed price: 22,500 ISK (around £140) for a car with up to four people and 29,250 ISK (around £180) for five to eight people. The driver tracks your flight and waits in the arrivals hall with a sign bearing your name. You can book in Hreyfill’s app, online or by phone.

If you take a metered taxi, an airport fee of 490 ISK (around £3) is added. Based on Hreyfill’s rates, a 50-kilometre journey comes to around 20,000 ISK (around £125) during the day on weekdays and up to 24,000 ISK (around £150) in the evening and at weekends. On major holidays such as Christmas Eve and New Year’s Eve there’s a 35 per cent surcharge. The rates are on Hreyfill’s price page. Uber doesn’t operate in Iceland, so it’s a taxi or a transfer if you want to be driven to the door.

If there are several of you, or you’re landing late with children and lots of luggage, you can book a private transfer between the airport and Reykjavik here. The price is per car, and the driver waits for you at the airport.

4. Car hire from Keflavík Airport

Many people hire a car at the airport, because Iceland is best explored independently, and because a car is often cheaper than the bus or a taxi when there are several of you. Four companies have desks inside the terminal: Avis, which also runs Budget and Payless, Europcar, which also runs Goldcar among others, Hertz and Sixt. Here you walk straight from the baggage belt to the desk. Many other companies pick you up with a shuttle bus or send a member of staff to the arrivals hall.

The airport warns that some companies claim to be located at the airport even though their office is outside, so check where you need to go. The desks in the terminal have long opening hours, but they aren’t open around the clock, so if you land in the middle of the night, you’ll need to arrange the handover with the company. You can see which companies have desks on the airport’s car hire page. Read the insurance terms carefully, and choose a car that suits the season and your route.

The drive to Reykjavik

From the airport you take Reykjanesbraut, Route 41, through the lava fields and past Hafnarfjörður into Reykjavik. It’s about 50 kilometres, and the drive takes around 45 minutes. The speed limit is 90 km/h on paved roads outside towns and 50 km/h in towns, and you must always drive with your headlights on, even during the day. The rules are set out by the Icelandic Road Administration, Vegagerðin.

In winter there can be ice, snow and strong winds on Reykjanes, and roads can be closed at short notice. Check road conditions on umferdin.is before you set off, especially if you land in the evening during the dark months.

Parking in Reykjavik

Central Reykjavik has zoned paid parking, and you pay in an app or at a machine. The city’s car parks and private spaces have their own rules. You can read more at Reykjavik City Council. Ask your hotel about parking before you book, as quite a few hotels in the centre have no spaces, while some hotels in Hlíðar and Laugardalur offer free parking.

5. The Blue Lagoon on the way from the airport

The Blue Lagoon is near Grindavík, only about 20 minutes by car from the airport and about 50 minutes from Reykjavik, so it works well as the first or last stop of your trip. By car, you take Route 41, turn off onto Grindavíkurvegur, Route 43, and follow the signs. Parking is free.

You need to buy a ticket in advance, as you may not get in without one. The cheapest ticket, Comfort, starts at 11,990 ISK (around £75), and the price depends on the time slot. The area around Grindavík has seen volcanic activity, and the lagoon can close at short notice, so check the Blue Lagoon’s own website before you plan your day.

By bus from the airport

The Destination Blue Lagoon bus is the lagoon’s official transport partner and runs from the airport to the lagoon, from the lagoon to Reykjavik, and in the other direction. From the airport there are only a few scheduled departures a day, in the morning, around midday and in the afternoon, while buses from the lagoon to Reykjavik run roughly once an hour from midday to evening. Departures change with the seasons and are listed in Destination Blue Lagoon’s timetable.

You can book the bus together with your lagoon ticket, or you can book a transfer from the airport or Reykjavik to the Blue Lagoon here. If you land early in the morning, it can pay to visit the lagoon first and head into town afterwards, so you’re not waiting around to check in.

Luggage at the Blue Lagoon

Suitcases aren’t allowed in the changing rooms. There are lockers for all guests, where you can keep valuables and a rucksack-sized bag, and by the car park there’s a luggage storage for larger bags, which costs 1,000 ISK (around £6) per suitcase. This is stated in the Blue Lagoon’s help centre.

Travelling around Iceland straight from the airport

If you’re not staying in Reykjavik for the first few nights, you can drive straight from the airport. With a hire car, you take Route 41 towards Reykjavik and carry on out of the city towards the Golden Circle, the South Coast or Snæfellsnes. Choose a short first drive if you land late or in winter. If you want to plan what to see along the way, read my guide to the best sights in Iceland.

If you land late and fly on early, a night in Reykjanesbær close to the airport can save you the drive there and back, and you can see hotels in Reykjanesbær here. If you need help choosing bases around the country, read my guide to where to stay in Iceland.

Getting back to the airport

Flybus runs from BSÍ to a fixed timetable, and the coach doesn’t wait for late passengers. The first leaves at 4am and the last at 10.30pm, with departures every half hour to two hours. The journey takes about 45 minutes. If your ticket includes pick-up, you’ll be collected from your stop half an hour before the coach leaves BSÍ, and you need to be ready 10 minutes beforehand. Flybus recommends allowing an hour and a quarter from pick-up to the airport, and departures during the late-afternoon rush hour can be delayed.

Bus 55 only runs from BSÍ on a few weekday services and takes about 65 minutes. The other services leave from Fjörður in Hafnarfjörður and take about 45 minutes. The bus drops you at the terminal on the departures side, in the same place as the airport coaches. The first bus reaches the airport at around 7.30am at the earliest, so for early morning flights Flybus or a taxi is the safe choice.

If you’re driving, return the hire car to the rental car park by the terminal following the company’s instructions. If you’re being dropped off in front of the terminal, keep the goodbyes short, as a car stopping for more than 5 minutes in the drop-off zone is charged a fee. Follow your airline’s recommended check-in time, and allow extra time if the weather is bad.

Which option should you choose?

Here’s my recommendation based on who you’re travelling with and where you’re going:

First time in Reykjavik: Take Flybus with the hotel transfer. It runs according to your flight and drops you close to your hotel for 5,299 ISK (around £33).

If you want to save money: Take Flybus to BSÍ and walk the last stretch into the centre. Bus 55 is cheaper, but it runs less often and frequently requires a change in Hafnarfjörður.

If there are three or four of you: Four Flybus tickets with the hotel transfer cost just over 21,000 ISK (around £130) before the group discount is deducted, so a fixed-price taxi at 22,500 ISK (around £140) costs almost the same and takes you to the door.

If you’re touring Iceland: Pick up your hire car at the airport and drive straight off. You save the trip in and out of town and can fit the Blue Lagoon in on the way.

If you land early in the morning: Take the bus to the Blue Lagoon and continue to Reykjavik in the afternoon, when you can check in at your hotel.

If you land at night: Flybus also runs after late arrivals. Bus 55 doesn’t run at night, so the alternative is a taxi.

Practical tips for getting from Keflavík Airport to Reykjavik

Buy your Flybus ticket before you leave home. That way you can walk straight out to the coach, and you can cancel free of charge up to 24 hours beforehand. The ticket is valid for the next coach if your flight is delayed.

Find your stop before you travel. With the hotel transfer, you’re often dropped off and picked up at a numbered stop rather than at the door. Write the number down so you know where to wait on your way home.

Check where bus 55 is going. Many services terminate in Hafnarfjörður, and at weekends the bus only runs every two hours. If it doesn’t fit your flight, Flybus is the best choice.

Have a bank card ready. Buses, taxis and parking are almost always paid by card or phone in Iceland, so you don’t need to change money into Icelandic krónur to get into town.

Make the most of a stopover. If you’re flying on across the Atlantic with Icelandair, you can add a couple of days in Reykjavik on the way. I’ve written about what it’s like to fly to New York with Icelandair via Iceland.

The post Keflavík Airport to Reykjavik – Transport Guide appeared first on Destination Well Known.

Here are my picks for the 18 best things to see and do in Iceland, with prices, opening hours and tips on what to book before you go. Prices are in Icelandic krónur (ISK), and 1,000 Icelandic krónur is roughly £6. The amounts in brackets are always in pounds. Nature is free, but at many of the popular places you pay a parking fee. The weather always decides, so read the section on safety at Reynisfjara and the practical tips at the end before you drive.

1. Hallgrímskirkja

Hallgrímskirkja is Iceland’s largest church and Reykjavik’s landmark, and you can see it from almost anywhere in the city. It was built from 1945 to 1986, it’s a national memorial church to the poet Hallgrímur Pétursson, and it has the country’s largest organ. The interior is light and simple, and it’s free to go in. In front of the church stands a statue of the Viking Leif Erikson, known as Leif the Lucky.

The best reason to come is the tower. It’s 73 metres high, and from the top you look out over the colourful roofs, the sea and the mountains around the city. A ticket for the tower costs 1,500 Icelandic krónur (about £9) for adults and 200 Icelandic krónur (about £1) for children aged 7 to 16, and you buy it in the church shop to the left of the entrance. Tickets can’t be booked in advance. In winter, the church is open every day from 10am to 5pm, with the last trip up the tower at 4.45pm, and in summer it’s open from 9am to 8pm, while the tower closes at 7.45pm.

The church and the tower may be closed during services, concerts and funerals, and on Sundays the tower closes for a couple of hours around the 11am service. My tip is to walk up Skólavörðustígur from Laugavegur, so you’ve got the church right in front of you the whole way, and to go up the tower on a weekday late in the afternoon.

2. Harpa and Sólfar

Harpa is Reykjavik’s concert hall and conference centre by the harbour, and it opened in May 2011. The glass facade, in a pattern of hexagons, was created by the artist Ólafur Elíasson together with Henning Larsen Architects, and the light in the building changes all the time as the sun and clouds move.

You can walk into the foyer and up the stairs and look out over the harbour and Mount Esja. The building is open Sunday to Thursday from 10am to 6pm and on Fridays and Saturdays from 10am to 8pm, and there are guided tours where the guides are musicians. On the ground floor, there’s a restaurant and a shop selling Icelandic design. If you’re in town for an evening, check the programme, because Harpa is home to the Iceland Symphony Orchestra, and there are also concerts of Icelandic music here.

From Harpa, it’s about a ten-minute walk along the water on Sæbraut to Sólfar, the steel sculpture of a Viking ship, which is one of the most photographed sights in the city. My tip is to do the walk at sunset and carry on up to Hallgrímskirkja afterwards, so you’ll have seen the city’s three landmarks in a couple of hours. It doesn’t cost anything, and you can do it all on your own.

3. Laugavegur and Central Reykjavik

Reykjavik is a small capital, and you can easily walk around the centre. The main street, Laugavegur, and its continuation, Bankastræti, are full of shops selling Icelandic design and wool jumpers, cafés and bars, and from Laugavegur, Skólavörðustígur leads up to Hallgrímskirkja. City Hall stands by the lake Tjörnin, and a short walk from there is the square Austurvöllur in front of the parliament, Alþingi.

Most of the whale watching operators are based at the Old Harbour, and further out on Grandi there are seafood restaurants, an ice cream parlour and several museums in the old warehouses. I’ll be honest about the prices. Iceland is expensive, and food and beer in the restaurants in the centre in particular cost more than you’re used to at home. My tip is to have your main meal of the day at lunchtime, when many restaurants have cheaper menus, and to try one of the city’s hot dog stands one evening.

Reykjavik is the first area in my guide to where to stay in Iceland, and the city is the best base if you want to go on organised day trips. If you’d like to know which neighbourhood suits you best, I’ve also written a guide to where to stay in Reykjavik, and you can see hotels in Reykjavik here.

4. Þingvellir

Þingvellir is Iceland’s most historic place. The Alþingi, the country’s national assembly, met here from around the year 930 until 1798, and it was here that Iceland declared its independence from Denmark on 17 June 1944. The national park has been on UNESCO’s World Heritage List since 2004, and it’s the first stop on the Golden Circle, less than an hour’s drive from Reykjavik.

What most people come for is the Almannagjá gorge. Here you walk along a path between high rock walls that are part of the Mid-Atlantic Ridge, where the tectonic plates are drifting apart. From the path, you look out over Þingvallavatn, Iceland’s largest natural lake, and a short walk away is the Öxarárfoss waterfall.

There’s no entry fee, but you pay 1,000 Icelandic krónur (about £6) to park an ordinary car, and the fee is valid all day in car parks P1, P2 and P5. You pay at the machines or online, and at P1 by the Hakið visitor centre, cameras register your number plate. My tip is to park at Hakið and walk down through Almannagjá. If you dare, you can snorkel in the Silfra fissure, where the water is only 2 to 4 degrees but so clear that you can see a long way down. You’re not allowed to snorkel alone, and most people go with an operator who provides the drysuits and equipment.

Book a snorkelling tour in Silfra between the tectonic plates.

5. Geysir and Strokkur

In the Haukadalur valley lies the geothermal area with the great geyser Geysir, which has given its name to every other geyser in the world. Geysir itself only rarely erupts, but right next to it is Strokkur, which according to Iceland’s tourist board erupts every 8 to 10 minutes and sends water up to 30 metres into the air.

There’s no entry fee to the area, and you walk around on paths between steaming holes, hot springs and small bubbling pools. The water is boiling hot, so stay on the paths and behind the ropes. Stand on the side of Strokkur the wind is coming from, or you’ll get a shower of hot water and a smell of sulphur in your face. Across the road is a large visitor centre with restaurants, a café and shops.

Geysir is about an hour’s drive east of Þingvellir and only ten minutes from Gullfoss, so most people visit all three places on the same trip. My tip is to stay at Strokkur for at least three eruptions, because they vary a lot in height, and sometimes two come right after each other. Have your camera ready when the water in the hole starts to bulge up into a blue bubble, because the eruption comes a moment later.

6. Gullfoss

Gullfoss, the Golden Falls, is the last of the three classic stops on the Golden Circle. The Hvítá river drops in two steps, first 11 metres and then 21 metres, into a narrow gorge. In summer, when meltwater from the Langjökull glacier fills the river, the volume of water is enormous, and on sunny days there’s often a rainbow in the spray.

Entry is free, and you can see the waterfall from two sides. From the car park by the café, you see it from above, and a path leads down along the gorge to a rock right next to the upper falls, where you can feel the spray. In winter, the paths down to the lower viewpoints may be closed because of ice, so respect the barriers and check conditions on safetravel.is before you drive.

The whole Golden Circle is about 250 kilometres from Reykjavik and back, and you can easily drive it yourself in a hire car without four-wheel drive. If you don’t have a car, an organised day trip is the easiest option, and many of the tours also stop at the Kerið volcanic crater on the way back. My tip is to drive the route in reverse if you have your own car, so you reach Gullfoss early, before the coaches arrive.

Book a day trip to the Golden Circle and Kerið from Reykjavik.

7. Blue Lagoon

The Blue Lagoon is Iceland’s most famous spa. The milky blue geothermal water lies in the middle of a lava field on the Reykjanes peninsula, and you bathe between black lava rocks with steam rising over the water. The lagoon is close to the airport at Keflavík, which is why many people come here straight from the plane or on their way home.

It’s expensive. The cheapest package, Comfort, costs from 11,990 Icelandic krónur (about £75) and includes entry to the lagoon, steam bath and sauna, a mud mask, a towel and a non-alcoholic drink. Premium costs from 14,990 Icelandic krónur (about £90) and Signature from 18,490 Icelandic krónur (about £115). You have to book in advance, and the price depends on the time slot. The lagoon opens at 7am or 8am and closes between 8pm and 11pm depending on the season, and you have to be out of the water half an hour before closing time.

The lagoon is near Grindavík, close to the area where there’s been a series of volcanic eruptions, and it may be closed for periods. So check the Blue Lagoon’s own website and Safetravel’s page on Reykjanes before you go. I think the Blue Lagoon is a beautiful experience, but it’s also touristy and expensive for what you get. My tip is to plan your visit right after landing or before you fly home and to book an early slot, when there are fewest people in the water.

Book entry to the Blue Lagoon with the Comfort package.

8. Sky Lagoon

Sky Lagoon is the newer alternative to the Blue Lagoon, and it’s on Kársnes in Kópavogur, just a few minutes’ drive from central Reykjavik. The lagoon has a long infinity edge, so it looks as if the warm water flows straight out into the North Atlantic, and in winter you might be lucky enough to see the Northern Lights from the water.

What makes it special is the seven-step Skjól ritual, which takes place in a building inspired by the old Icelandic turf houses. You move between the warm water, a cold plunge, a sauna with a view of the sea, a cold fog, a body scrub, a steam room and finally a shower. Tickets cost from around 14,500 Icelandic krónur (about £90) depending on the package and time slot, and you have to book in advance. There’s an age limit, so check the rules on Sky Lagoon’s own website if you’re bringing children.

I think Sky Lagoon is the best choice if you’re staying in Reykjavik and only want one spa, because you save the long trip out to Reykjanes. The Blue Lagoon is the best known, but in my opinion Sky Lagoon has the most beautiful view. If you just want to get into hot water like the locals, the city’s ordinary swimming pools with hot tubs are a much cheaper alternative.

Book a ticket for Sky Lagoon with the Skjól ritual.

9. Seljalandsfoss and Gljúfrabúi

Seljalandsfoss is the first big waterfall on the south coast, and you can see it from the Ring Road just under two hours’ drive east of Reykjavik. The water drops 60 metres from an old sea cliff, and a path leads all the way around behind the waterfall, so you can see it from the inside. You’ll get wet, so put on waterproofs.

In winter, the path behind the waterfall can be slippery, and large chunks of ice can fall down, so it’s often closed. Respect the barriers, even if you see other people walking past them. There’s a parking fee at the car park by Seljalandsfoss.

Walk the roughly ten minutes to the left along the cliff to Gljúfrabúi, which many people miss. It’s a waterfall of about 40 metres that’s half hidden inside a gorge, and you can wade in along the stream and see it from the bottom. Rocks can fall in the gorge, so pay attention to the signs. My tip is to bring waterproof shoes and a spare set of clothes in the car, because this is where you’ll get wettest on the entire south coast.

Book a day trip to the waterfalls, the black beach and the glacier on the south coast.

10. Skógafoss

Skógafoss is about half an hour’s drive further east by the small village of Skógar, and it’s one of Iceland’s most photogenic waterfalls. The water drops 62 metres in a single wide cascade, and because you can walk right up to the bottom, you can stand in the middle of the spray. On sunny days, there’s almost always a rainbow in front of the waterfall.

To the right of the waterfall, a tall and fairly tough staircase leads up to a viewing platform above the falls. This is also where the path along the Skógá river towards the Fimmvörðuháls pass begins, and after just a short stretch you’ll see several smaller waterfalls that most people never reach. The full route over the pass is a long mountain hike that needs good weather and experience, so it isn’t something you do on a south coast trip.

My tip is to come early in the morning or late in the afternoon in summer, when the coaches from Reykjavik have moved on. At the car park there are toilets, cafés and a campsite, and if you’re spending a couple of days on the south coast, Skógar is a good place to stay overnight between Seljalandsfoss and Vík.

11. Reynisfjara and Vík

Reynisfjara is the black beach just west of Vík í Mýrdal, Iceland’s southernmost village, about 180 kilometres from Reykjavik. The beach is known for the black basalt columns in the cliff and the Reynisdrangar sea stacks rising out of the sea off the coast. A little further west is the Dyrhólaey peninsula, with a huge rock arch and views over the whole coast.

Reynisfjara is also dangerous, and lives have been lost on the beach. It’s known for so-called sneaker waves, big waves that come completely without warning and run much further up the beach than the others. They can sweep an adult out to sea in seconds. By the path down to the beach there’s a warning light linked to an automatic wave forecast. According to Safetravel, yellow means moderate danger, orange means considerable danger, when you have to stay at least 25 metres from the water, and red means the beach is closed and you may only stand at the viewpoint.

Always keep an eye on the sea, never turn your back on the waves, and keep children close to you. Don’t go too close to the cliffs either, because rocks can fall. In Vík, the church stands high on a hill above the village, and it’s meant as the village’s place of refuge if the Katla volcano under the Mýrdalsjökull glacier erupts and sends a flood wave across the plain. The south coast is the third area in my guide to where to stay in Iceland, and if you’d like to stay overnight close to the beach, you can see hotels in Vík here.

12. Glacier Hike on Sólheimajökull

Sólheimajökull is a glacier tongue that pushes down from the Mýrdalsjökull ice cap between Skógafoss and Vík, and it’s the most popular place on the south coast for a glacier hike. From the car park, you walk along a path to the edge of the glacier, and even from there you can see the white, blue and black layers in the ice, where ash from old eruptions is frozen in.

Never go up onto a glacier on your own. The ice is full of crevasses and holes that can be hidden under the snow, and it changes all the time. Safetravel has crevasse maps and warnings for exactly this kind of trip, and on a guided tour you get crampons, an ice axe, a harness and a helmet and walk with a trained glacier guide. The hike on the ice itself usually takes a couple of hours, and many people combine it with the waterfalls and the black beach on a day trip from Reykjavik. A day trip like that costs from around 23,000 Icelandic krónur (about £140).

The glacier is retreating year by year, and it’s further from the car park to the ice than it was a few decades ago. My tip is to wear sturdy hiking boots, because most operators require them, and if you don’t have your own, you can usually hire them. Hikes can be cancelled in storms, so plan the tour early in your trip, so you’ve got an extra day to move it to.

Book a glacier hike on Sólheimajökull with waterfalls and the black beach.

13. Skaftafell and Svartifoss

Skaftafell is a green oasis between the glaciers in Vatnajökull National Park, and the area was added to UNESCO’s World Heritage List in 2019 together with the rest of the national park. It’s one of the best places in Iceland for hiking, and from the Skaftafellsstofa visitor centre, which is open all year, trails lead to waterfalls, viewpoints and the glacier.

The most popular hike goes to Svartifoss, a 20-metre waterfall surrounded by black basalt columns that hang down from the cliff like organ pipes. The walk from the visitor centre is about 1.9 kilometres and takes around 45 minutes each way, and it’s uphill most of the way there. If you’d also like to see the glacier up close, trail S1 to Skaftafellsjökull is an easy 4.1-kilometre loop that takes 1 to 1.5 hours.

The parking fee in the national park is 1,110 Icelandic krónur (about £7) for an ordinary car, and it’s valid until midnight the same day. If you’ve already paid at Jökulsárlón the same day, you get 50 per cent off. So my tip is to do Skaftafell and Jökulsárlón on the same day. Skaftafell is about 330 kilometres from Reykjavik, so most people stay overnight in the area instead of driving there and back.

14. Jökulsárlón and Diamond Beach

Jökulsárlón is the glacier lagoon where icebergs break off the Breiðamerkurjökull glacier and drift slowly around in the cold water before floating out to sea. The lagoon is right by the Ring Road, less than an hour’s drive east of Skaftafell, and it’s accessible all year round. There are often seals lying on the ice floes or swimming around at the mouth of the lagoon.

On the other side of the road is Diamond Beach, which is called Fellsfjara in Icelandic. Here, chunks of ice wash up on the black sand and look like diamonds when the sun shines through them, and it’s one of the best photo spots in Iceland, especially at sunrise. The waves are just as unpredictable here as at Reynisfjara, so keep your distance from the water, and never climb onto the big chunks of ice. A little further west is the smaller Fjallsárlón lagoon, where there are usually fewer people.

Parking at Jökulsárlón costs 1,110 Icelandic krónur (about £7), the same as in Skaftafell, and in the summer months there are boat tours out among the icebergs. In winter, guided tours go into the ice caves in Breiðamerkurjökull, which are supervised by the national park rangers. The lagoon is about five hours’ drive from Reykjavik, so a day trip from there is very long. I recommend staying overnight in the area, and you can see hotels in Höfn here. The town is a good hour further east.

Book a day trip to Jökulsárlón and Diamond Beach from Reykjavik.

15. Snæfellsnes

Snæfellsnes is called Iceland in miniature because the peninsula has a bit of everything: a glacier, black beaches, lava fields, fishing villages and mountains. It’s about two hours’ drive north of Reykjavik, and a loop of the peninsula from Borgarnes and back is about 260 kilometres.

The best-known sight is Mount Kirkjufell near Grundarfjörður, with the Kirkjufellsfoss waterfall in the foreground, and it’s one of the most photographed mountains in Iceland. At the tip of the peninsula is Snæfellsjökull National Park, the only national park in Iceland that stretches from the top of a glacier all the way down to the sea. Here you’ll find the Djúpalónssandur beach with the old lifting stones the fishermen used to test their strength, and wreckage from a shipwreck. Between Arnarstapi and Hellnar, a 2.5-kilometre path runs along the coast past the Gatklettur rock arch.

On the south side, the black wooden church Búðakirkja stands alone in the lava field, and at Ytri Tunga beach there are often seals lying on the rocks, especially at low tide. My tip is to stay overnight on the peninsula, because a day trip from Reykjavik means five to six hours in the car, and then you’ll only manage the main stops. If you don’t want to drive yourself, an organised day trip from Reykjavik is a good option.

Book a day trip to Snæfellsnes and Kirkjufell from Reykjavik.

16. Mývatn and Goðafoss

Mývatn in North Iceland is one of the places where you can really see that Iceland is a volcanic country. The lake is a good hour’s drive east of Akureyri, and around it you’ll find lava formations, craters and boiling mud pools. At Hverir, at the foot of Námafjall, the ground steams and bubbles in yellow and reddish brown colours, and there’s a strong smell of sulphur. Stay on the marked paths, because the ground can be boiling hot just below the surface.

In Dimmuborgir, you walk between lava pillars, arches and caves, and the place is known from the folk tales about the Icelandic Yule Lads. The Hverfjall crater is about 1,000 metres wide and 140 metres deep, and a path leads up to the rim with a view over the lake. Afterwards, you can bathe in Earth Lagoon Mývatn, which used to be called Mývatn Nature Baths. Tickets cost from around 7,900 Icelandic krónur (about £50), and children aged five and under get in free with an adult.

On the way from Akureyri, you drive past Goðafoss on the Ring Road. The waterfall is about 12 metres high and 30 metres wide, and according to legend, the lawspeaker Þorgeir threw his old idols of the gods into the waterfall when Iceland became Christian. That’s where the name comes from, which means Waterfall of the Gods. My tip is to stay overnight by the lake and do the whole Diamond Circle with Húsavík and Dettifoss. You can see hotels at Mývatn here.

17. Whale Watching

Whale watching is one of the most popular experiences in Iceland. According to Iceland’s tourist board, tours sail every day from the Old Harbour in Reykjavik, and the best season is roughly from April to September. You’ve got the chance to see humpback whales, minke whales, dolphins and harbour porpoises, and with a bit of luck orcas and blue whales too. In winter, fewer tours sail.

In North Iceland, Húsavík calls itself Iceland’s whale watching capital, and the town was one of the pioneers of whale watching. Here you sail out into Skjálfandi bay, and several of the operators use traditional Icelandic oak boats. Tours from both Reykjavik and Húsavík usually last around three hours, and a ticket costs from around 12,000 Icelandic krónur (about £75).

It’s cold out at sea even in summer, so wear warm clothes, a hat and gloves, and many operators lend you a warm overall. Whales are wild animals and there’s no guarantee, but many operators give you a free second trip if you don’t see any. My tip is to choose Húsavík if you’re going to Mývatn anyway, and otherwise to take the tour from Reykjavik on a day with calm weather, so you don’t get seasick.

Book a whale watching tour from the Old Harbour in Reykjavik.

18. Northern Lights

The Northern Lights are the reason many people go to Iceland in winter. To see them, the sky has to be dark and preferably clear, so the season runs roughly from September to April, while the light summer nights make it impossible. The Northern Lights can appear all over the country, but you need to get away from the city lights, so even in Reykjavik it’s a good idea to drive a little way out of town.

The Icelandic Meteorological Office has an aurora forecast with a cloud cover map and an activity scale from 0 to 9, so you can see where the sky is clear. The clouds matter more than the activity, so look at the cloud cover first. If you’re driving yourself, never stop at the side of the road to look up, but find a lay-by or a side road, and read Safetravel’s advice on the Northern Lights and safety before you drive out at night.

If you don’t have a car, a Northern Lights tour by coach or minibus from Reykjavik is the easiest option. Tours cost from around 9,500 Icelandic krónur (about £60), and many operators give you a free second tour if the lights don’t show. My tip is to book the tour early in your stay, so you’ve got more evenings to try again. If you’d also like to chase the Northern Lights in Northern Norway, I’ve written a guide to where to stay in Tromsø.

Book a Northern Lights minibus tour from Reykjavik with photos.

Practical Travel Tips for Iceland

From Keflavík Airport, the Flybus runs to the BSÍ bus terminal in Reykjavik about 40 minutes after every arrival, and the journey takes around 45 minutes. Ordinary public buses also run between the airport and the capital area. If you want to see more than Reykjavik, a hire car is the most flexible option, but you can reach all the big sights on organised day trips.

The weather in Iceland changes quickly, and in winter roads can close within a few hours. Check road conditions on umferdin.is, which is run by the Icelandic Road and Coastal Administration, Vegagerðin, or call their traffic service on 1777, which is open every day from 6.30am to 10pm. Check the weather forecast on vedur.is at least once a day too. In Iceland, your headlights must be on around the clock, and driving off road is forbidden. The mountain roads in the Highlands, the so-called F-roads, are only open in summer and require four-wheel drive.

It’s a good idea to register a travel plan and download the app on safetravel.is, where you’ll also see warnings about weather, closed areas and volcanic activity. The emergency number is 112. The natural sights are open all year, but in winter there are only a few hours of daylight, and in summer it’s light almost around the clock. My tip is to go from June to August if you want to drive all the way around the island, and from September to April if the Northern Lights are the most important thing. Remember that the tower at Hallgrímskirkja closes around the Sunday morning service.

You can pay by card almost everywhere, so you don’t need to change much money into Icelandic krónur. If you need the full range of places to stay, you can see all hotels in Iceland on Booking.com. If the Faroe Islands are also on your wish list, take a look at my guide to where to stay in the Faroe Islands.

The post 18 Best Things to Do in Iceland: Sights, Prices & Tips appeared first on Destination Well Known.

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.

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.

See hotels in Reykjavik here.

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.

See hotels in Akureyri here.

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. If you’d like to chase the northern lights somewhere else, my guide to where to stay in Lapland covers everything from glass igloos to cabins with their own sauna.

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.

The post Where to Stay in Iceland? The 7 Best Areas & Places to Stay appeared first on Destination Well Known.

In this guide, I’ll tell you about the best areas to stay in, whether you’re into world-class nightlife, geothermal experiences, or cultural gems.

So let’s get started: where to stay in Reykjavik?

Best Areas in Reykjavik

Here’s a quick overview of the best areas to stay in Reykjavik:

• Midborg – The heart of the city with everything within walking distance ⭐️
• Vesturbær – Quiet harbour area with maritime charm 🏖️
• Laugardalur – Green natural paradise with thermal baths 🌳
• Hlíðar – Artists’ quarter with creative atmosphere 🏛️

Click on the area’s name to see the best hotels in that area.

The guide to where you should stay in Reykjavik continues below, where I delve deeper into the areas and recommend good hotels.

1. Midborg – Best Area for First-Time Visitors ⭐️

Midborg is the perfect starting point for your first Reykjavik experience. Here you’ll get the city’s best shopping, easy access to public transport, and a wealth of dining options right outside your door.

Midborg is simply THE best place to stay if you want the authentic Reykjavik experience.

Here you’ll find Hallgrimskirkja (the iconic church that towers over the city like a modern cathedral) and the beautiful Harpa concert hall by the harbour, which looks like a gigantic crystal in the sunlight.

You’ll love wandering through the small streets around Austurvöllur square, where parliament is located, and where you often see politicians walking to work like ordinary people.

See the best hotels in Midborg here.

Laugavegur, the city’s main street, is a complete universe in itself. Trust me when I say you can spend hours just strolling between the small shops, coffee bars, and galleries.

It reminds me a bit of Shoreditch in London, with the same alternative atmosphere, just in miniature format. In the evening, the area becomes Reykjavik’s nightlife epicentre, where small bars and clubs open their doors for a party that can last until sunrise (which in the summer months technically never comes).

The area is perfect in terms of transport. You can walk to most things in under 15 minutes, and the buses run right outside your door.

The prices are… well, it’s Iceland, so don’t expect to find budget options here. But in return, you get the world’s best location and the opportunity to be in the middle of everything that makes Reykjavik special.

In winter, it’s also brilliant to stay here because you avoid long walks in cold and snow.

Quick Info: Midborg

📍 Distance to centre: 0 km (you ARE in the centre!)
🚇 Nearest bus stop: Lækjartorg Square
✈️ Time to airport: 45 minutes
🏪 Supermarket: Within 200 metres
💰 Price level: €€€€ (4/5)
👮 Safety: ⭐⭐⭐⭐⭐ (5/5)

Places to stay in Midborg

The Reykjavik EDITION ⭐️⭐️⭐️⭐️⭐️

The ultimate luxury hotel by the old harbour with spectacular views over the fjord and mountains. The hotel offers a Michelin-recommended restaurant, rooftop bar, and Nordic-inspired spa that defines modern Icelandic luxury.

Previous guests particularly highlight: “The enormous windows and view over the fjord are simply magical.. Felt like staying in a palace!”

See more photos and book here.

Hotel Borg by Keahotels ⭐️⭐️⭐️⭐️

This historic art deco hotel from 1930 is a true icon in central Reykjavik. With elegant décor, fantastic breakfast, and a location just steps from all major attractions.

A guest recently wrote: “Perfect blend of history and modern comfort. The staff were incredibly helpful and the breakfast was world-class.”

See more photos and book here.

Kex Hostel ⭐️⭐️⭐️

The hippest hostel in town, housed in an old biscuit factory with industrial charm. Fantastic bar, lively atmosphere, and perfect for young travellers who want to meet like-minded people.

Guests particularly love: “The atmosphere is completely unique. It feels more like a cool club than a hostel, and the bar is a must!”

See more photos and book here.

2. Vesturbær – Perfect for Peace and Maritime Experiences 🏖️

Vesturbær is the harbour’s quiet big brother, where you can enjoy the maritime atmosphere without the city’s hectic pace. Here you’ll find some of Iceland’s best museums and a fantastic swimming pool.

The old harbour, Grandi, has been transformed into a cultural epicentre with maritime museums, restaurants, and shops.

Here you’ll find Aurora Reykjavik, where you can experience the northern lights indoors (perfect if the weather doesn’t play ball), and the fascinating Saga Museum, which tells Iceland’s history through wax museum figures.

Vesturbæjarlaug swimming pool is a local mecca. Picture yourself lying in 40-degree thermal water whilst looking out over the Atlantic Ocean. It’s pure therapy!

See the best hotels in Vesturbær here.

The area is considerably quieter than Midborg, especially in the evening, which makes it perfect for families or those who want a relaxed base. You still have easy access to the centre, which is just a 15-20 minute walk along the waterfront, which is an experience in itself.

The prices are also more favourable than in Midborg, and you get more space for your money.

The area attracts an interesting mix of local artists, young families, and travellers who seek authenticity over tourist traps.

The only downside? You need to be prepared to walk or take the bus if you want to go into town late at night.

Quick Info: Vesturbær

📍 Distance to centre: 1.5 km
🚇 Nearest bus stop: Grandagarður
✈️ Time to airport: 50 minutes
🏪 Supermarket: Within 400 metres
💰 Price level: €€€ (3/5)
👮 Safety: ⭐⭐⭐⭐⭐ (5/5)

Places to stay in Vesturbær

Sand Hotel by Keahotels ⭐️⭐️⭐️⭐️⭐️

This stylish boutique hotel is perfectly located on Reykjavik’s lively shopping street Laugavegur and offers guests an authentic Icelandic experience in the heart of the capital.

Sand Hotel combines modern Nordic design with warm Icelandic hospitality and creates an atmosphere that feels both sophisticated and inviting.

The hotel’s greatest treasure is undoubtedly the legendary Sandholt Bakery on the ground floor, which has served Reykjavik’s finest artisan bread and cakes since 1920.

This is a genuine Icelandic institution, where locals queue alongside hotel guests to get the freshly baked sourdough bread, traditional rye bread, and exceptional coffee that’s roasted in-house.

Previous guests particularly highlight: “The bakery alone is worth the trip. Their rye bread and coffee beans are simply fantastic! We ended up buying their cookbook, just so we could recreate the magic at home.”

See more photos and book here.

Loft – HI Eco Hostel ⭐️⭐️⭐️

Eco-friendly hostel with rooftop terrace and fantastic views over the city.

Fine, modern rooms make it perfect for budget travellers who don’t compromise on comfort.

The common areas are absolutely the hostel’s highlight with large, modern kitchen facilities where guests can prepare their own meals and meet other travellers from around the world.

The spacious lounge with panoramic windows offers a perfect base for planning the day’s adventures or just relaxing with a book and a cup of coffee.

Guests particularly love: “The terrace is worth its weight in gold in summer, and the location is perfect for exploring both harbour and centre.”

See more photos and book here.

3. Laugardalur – Nature Lovers’ Green Oasis 🌳

Laugardalur is your choice if you love nature, sport, and authentic Icelandic experiences. Here you’ll find the city’s largest thermal bath, botanical garden, and a completely different pace than in the centre.

Laugardalur is Reykjavik’s best-kept secret. The area feels like a small village within the city, surrounded by green areas, walking trails, and the most authentic Icelandic atmosphere you can find.

See the best hotels in Laugardalur here.

Laugardalslaug isn’t just an outdoor swimming pool, it’s an institution! With eight different hot pots at different temperatures (from 36 to 42 degrees), steam baths, and an Olympic swimming pool, it’s the place where locals spend their weekends.

The botanical garden is surprisingly beautiful and completely free to visit. Perfect for a morning walk or picnic.

Reykjavik Zoo & Park, right next door, is a hit with families, although “zoo” might be a big word for what mostly resembles a farm with Icelandic horses, sheep, and seals.

The area is also home to Iceland’s national stadium, so if you’re into football, you can experience the local atmosphere.

Many young families and students live here, which creates a relaxed, non-touristy atmosphere. The prices are significantly lower than in the centre, and you get more space and facilities for your money.

The only challenge is transport, as you depend on bus or car to get to the centre, but the buses run regularly, and the journey takes only 15-20 minutes.

Quick Info: Laugardalur

📍 Distance to centre: 3 km
🚇 Nearest bus stop: Laugardalshöll
✈️ Time to airport: 55 minutes
🏪 Supermarket: Within 500 metres
💰 Price level: €€ (2/5)
👮 Safety: ⭐⭐⭐⭐⭐ (5/5)

Places to stay in Laugardalur

Grand Hotel Reykjavik ⭐️⭐️⭐️⭐️⭐️

Modern business hotel with comprehensive facilities and quiet location in a residential area.

The hotel offers spa, fitness, and restaurant with Nordic specialities, perfect for those who want luxury away from the tourist crowds.

Previous guests particularly highlight: “Fantastic breakfast buffet and super quiet location, it felt like a wellness retreat in the middle of the city.”

See more photos and book here.

Fosshotel Reykjavik ⭐️⭐️⭐️⭐️

Solid mid-range hotel with cosy atmosphere and good value for money. Close to the Laugardalur area with easy access to thermal baths and green areas, plus free parking.

A guest recently wrote: “Perfect balance between comfort and price. The breakfast was particularly impressive, and the staff were incredibly friendly.”

See more photos and book here.

Reykjavik Dalur HI Eco-Hostel ⭐️⭐️⭐️

Family-friendly hostel close to Laugardalslaug swimming pool with cosy café and green surroundings.

Perfect for backpackers, but also families who want peace and access to nature experiences without spending a fortune on accommodation in the city.

Guests particularly love: “So close to the fantastic swimming pool and botanical garden. It feels like staying in a nature area, but still close to the city.”

See more photos and book here.

4. Hlíðar – Creative Area for Culture Enthusiasts 🏛️

Hlíðar is the artists’ quarter, where galleries, sculptures, and creative energy characterise the street scene. Here you’ll find some of the city’s best art museums and a special bohemian atmosphere, like you know from certain quarters of Paris, Prague, and Budapest.

Hlíðar is an area in constant change, characterised by artists, creative souls, and young professionals.

It’s here you’ll find Ásmundarsafn sculpture museum with its fantastic sculptures both indoors and in the surrounding park.

The streets here are less polished than in Midborg, but in return you’ll find some of the city’s best coffee bars and small galleries.

See the best hotels in the area here.

It’s perfect if you’re the type who loves discovering hidden gems and feeling like a local rather than a tourist. Many of the houses are colourful and decorated with street art, which creates a lively and inspiring atmosphere.

The area particularly attracts art-interested travellers and those seeking the “real” Reykjavik.

You’re still only a 15-20 minute walk from the centre, but the prices are more reasonable, and you avoid the tourist masses.

The only minus is that the area can seem a bit deserted in the evening, and the restaurant selection is more limited than in the central areas.

Quick Info: Hlíðar

📍 Distance to centre: 2 km
🚇 Nearest bus stop: Skulagata
✈️ Time to airport: 50 minutes
🏪 Supermarket: Within 300 metres
💰 Price level: €€€ (3/5)
👮 Safety: ⭐⭐⭐⭐ (4/5)

Places to stay in Hlíðar

Hotel Local 101 ⭐️⭐️⭐️⭐️

Unique boutique hotel in a renovated 1930s office building with minimalist design and vintage charm.

The hotel is located in the hip 101 area (hence the name), which is Reykjavik’s creative heart with small galleries, vintage shops, and cosy cafés where locals hang out.

You’re a few minutes’ walk from Laugavegur, but still away from the tourist flow, which gives you the opportunity to experience the city like an Icelander.

The rooms are simple and functional with Nordic minimalism. Not the most luxurious, but certainly comfortable and clean with necessities like good Wi-Fi, decent beds, and modern bathrooms. Some rooms also have fine views over the city’s colourful roofs.

Previous guests particularly highlight: “Very friendly staff, good breakfast. Lovely bar and restaurant with good food.”

See more photos and book here.

Hlemmur Suites ⭐️⭐️⭐️

This hostel is located in a converted old bus depot and has retained much of the raw, industrial charm from the building’s past. The place appeals to backpackers and budget travellers who want to stay centrally without paying hotel prices.

The location at the old Hlemmur bus terminal is actually quite practical. You’re still within walking distance of the centre, but in an area that’s a bit more gritty and authentic than the polished tourist streets. There are also plenty of local cafés and bars nearby where prices aren’t inflated for tourists.

It’s basic backpacker standard, with clean beds, shared bathrooms, and not much space for your gear. But if you’re mainly going to sleep there and otherwise be out experiencing Iceland, then it does the job fine.

The common areas have a cool, alternative vibe with high ceilings and the old bus station atmosphere. There’s a communal kitchen where you can make your own food, which saves quite a bit of money in expensive Reykjavik. There are also common areas where people hang out and plan trips together.

Guests particularly love: “Fantastic breakfast and perfect location for exploring the city – good value for money in an expensive city.”

See more photos and book here.

Where Not To Stay in Reykjavik

Whilst Reykjavik is generally a very safe city, there are a few areas I’d recommend avoiding as a tourist, not because of safety, but more due to practical considerations.

Breiðholt and Árbær are too far from the centre to be practical base areas. You’d be dependent on buses for everything, and it can be troublesome, especially in the evening when bus frequency drops. Whilst the areas are fine enough to live in, you don’t get particularly good value for money compared to being a bit closer to the centre.

The airport area near Keflavik might be tempting due to prices, but remember it’s 45 km from Reykjavik. Unless you only need accommodation before an early departure, it’s not practical.

The outermost suburbs like Mosfellsbær and Hafnarfjörður are technically not part of Reykjavik, and whilst they have their charm, you’d miss most of what makes a Reykjavik trip special.

If you’re considering one of these areas to save money, then book in Laugardalur or Hlíðar instead, where you still get good value but with better access to the city’s experiences.

Still Unsure Where to Stay in Reykjavik?

First-time visitors should definitely choose Midborg for the complete Reykjavik experience, where everything is within walking distance.

Families will find Laugardalur perfect with its green areas and thermal baths, whilst culture enthusiasts will love Hlíðar’s artistic atmosphere.

Luxury travellers will find the best facilities in Midborg and Vesturbær, whilst budget travellers get the most for their money in Laugardalur and Hlíðar.

In winter, it’s particularly important to choose a central area to minimise time out in the cold, whilst summer guests can allow themselves slightly longer distances to enjoy the green areas.

Remember that Reykjavik is a compact city, so regardless of where you choose to stay, you’re never far from the next adventure. The most important thing is to choose the area that suits your travel style and budget. If you want to see more of Iceland than the capital, my guide to where to stay in Iceland covers the best bases outside the city.

Enjoy your Reykjavik experience – I’m certain you’ll absolutely love this unique city!

The post Where to stay in Reykjavik? 4 Best Areas & Places to Stay (+Avoid!) 🇮🇸 appeared first on Destination Well Known.