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Top cities to explore in Iceland

Top hotels in Iceland

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Lowest nightly price found within the past 24 hours based on a 1 night stay for 2 adults. Prices and availability subject to change. Additional terms may apply.

Cheap Trips to Iceland

When you’re craving the sounds, sights, and smells of a new destination, it’s time to go on an adventure. Book one of the best hotels in Iceland and get ready to explore. Venture out solo, invite your honey along, or instill some wanderlust in your kids as you dabble in the culture. During your visit, sample some of the region’s most popular delicacies, tour the famous attractions, and speak with the locals to discover the most coveted spots around. After hiking around the scenery and visiting the nearby landmarks, rest up at one of the nearby Iceland hotels.

Here at Travelocity, we’re ready to match you up with the perfect lodging for your next sojourn. Whether you’re in the mood for a place with artsy décor or room service around the clock, we’ve got just the hotel for you. Sort through our selection of cheap hotels in Iceland to find one that suits all your preferences and price range. What’s more, you can keep your travels within your budget by booking your hotel and flight at the same time to save up to $537. With a wide range of hotels to choose from and unbeatable deals, there’s no excuse not to go out and smell the roses in a new city today.

Iceland hotels essential information

Accommodation
2,383 hotels
Lowest Price
$103
Highest Price
$218
Popular hotels
Base Hotel by Keflavik Airport, Iceland Comfort Apartments by Heimaleiga, Brim hotel , 22 Hill Hotel, Fosshotel Raudara, Travel Inn Guesthouse, Stay Apartments Bolholt, Konvin Hotel by Reykjavik Keflavik Airport, Kef Guesthouse by Keflavík airport, Hlemmur Square, Reykjavik Marina - Berjaya Iceland Hotels, Hotel Cabin

Top reasons for your vacation to Iceland

  • Golden Circle: Explore geysers, waterfalls, and national parks along this popular traveler route.
  • Glacier Lagoon: Marvel at stunning ice formations in this must-visit destination.
  • Aurora Borealis: Experience the magical Northern Lights for a truly unforgettable vacation.
  • Selfoss: Discover breathtaking waterfalls, scenic landscapes, and opportunities for outdoor adventures.
  • Reykjavik: Enjoy the charm of the capital city, with its stunning downtown, museums, and beautiful sea views.

Find your favorite hotels in Iceland

If you're planning a luxury vacation in Iceland, you'll find a range of high-end hotel accommodations to choose from. Whether you're looking for a boutique hotel, a top-rated luxury hotel, or simply the best hotel experience, there are options available to suit your preferences. These hotels offer luxurious amenities, stunning views, and exceptional service, providing the perfect base for your family to explore the beauty of Iceland.

Hotel nameTypeStarsDescription
Reykjavik Natura - Berjaya Iceland HotelsHotel4.0This 4.0-star rating hotel is a great option for a luxury vacation in Iceland. It is located close to friendly people, yoga, a steam room, the airport, a library, wedding venues, museums, excursions, a sauna, and a spa.
Center Hotels PlazaHotel3.5With a 3.5-star rating, Center Hotels Plaza offers a convenient location for your luxury vacation. It is located near friendly people, whale watching spots, shopping areas, rafting opportunities, monuments, cross-country skiing areas, walking paths, entertainment venues, and museums. You can also enjoy water skiing nearby.
Alda Hotel ReykjavikHotel4.0Offering a 4.0-star rating, Alda Hotel Reykjavik is another excellent option for a luxury vacation. It is situated close to friendly people, whale watching spots, shopping areas, a sauna, the sea, massage facilities, museums, cafes, coffee shops, and bars.

Explore the best activities and sights in Iceland

When it comes to luxury vacation in Iceland, there are plenty of activities and travel to-dos that cater to families. From taking a cruise to exploring the breathtaking ocean views, there are endless opportunities for adventure. The Golden Circle, a popular traveler route, offers a chance to witness top attractions like geysers, waterfalls, and national parks. Glacier lagoon is another must-visit destination, where you can marvel at the stunning ice formations. And of course, no luxury vacation to Iceland is complete without experiencing the magical Aurora Borealis. With its friendly people, exquisite dining, and beautiful nature, Iceland is the perfect destination for a memorable family vacation.

  1. Reykjavik Harbour: Reykjavik Harbour is a picturesque harbor point of interest that offers a unique and vibrant experience. The friendly locals, coupled with the museums, tours, and dining options, create a lively atmosphere. Take a leisurely walk along the harbor, enjoying the stunning views and the sound of the waves. Explore the charming shops and indulge in some shopping therapy. Immerse yourself in the rich culture and catch a live music performance or a play at the theater. With its beach-like setting, Reykjavik Harbour is the perfect place to relax and soak up the coastal vibes.
  2. Blue Lagoon: The Blue Lagoon is a world-famous hot spring point of interest that guarantees a unique and luxurious experience. The friendly staff ensures a warm welcome as you step into the tranquil surroundings. Indulge in a delicious dining experience while savoring the breathtaking views. Take a leisurely walk around the lagoon, feeling the soothing waters melt away your stress. The budget-friendly options allow everyone to enjoy the beauty and wellness the Blue Lagoon offers. If you're lucky, you might even catch a glimpse of the mesmerizing Northern Lights. Whether you prefer to relax or indulge in luxury, the Blue Lagoon is a must-visit for a rejuvenating outdoor experience.
  3. Jokulsarlon Glacier Lagoon: Jokulsarlon Glacier Lagoon is a majestic glacier point of interest that offers a truly awe-inspiring experience. Marvel at the massive glaciers floating in the crystal-clear waters, creating a stunning contrast against the surrounding mountains. Take in the fresh sea air as you enjoy a delicious dining experience with friendly locals. Embark on exciting excursions to explore the lagoon and spot unique seafood. The breathtaking scenery, coupled with the serene nature and captivating sunrise, make Jokulsarlon Glacier Lagoon a must-visit for any scenery enthusiast.

Top Destinations in Iceland

1. Reykjavik

Reykjavik, the capital of Iceland, offers a unique blend of geographic and cultural attractions that are perfect for a family vacation. With its stunning downtown area, visitors can enjoy Icelandic nature and breathtaking sea views. The city is known for its unbeatable location, surrounded by beautiful landscapes and the mesmerizing coastline. Families can engage in a variety of activities, such as exploring museums, cafes, and shops, as well as embarking on walking tours to experience the friendly atmosphere and sightseeing opportunities. Popular points of interest include Reykjavik Harbour, Blue Lagoon, and Laugavegur street, all of which showcase the charm and beauty of this remarkable city.

  • Travelers tend to stay 3 days in Reykjavik
  • What to see in Reykjavik: Reykjavik Harbour, Blue Lagoon, Laugavegur

2. Vik I Myrdal

Vik I Myrdal, located in the Southern Region of Iceland, offers a unique blend of geographic and cultural affinities perfect for an outdoor vacation with your family. The area is renowned for its stunning black sand beaches, providing an ideal setting for beach activities and sightseeing. Additionally, the region boasts breathtaking waterfalls, making it a paradise for hiking enthusiasts. You can also enjoy local tours and engage in activities like dining and exploring the charming downtown of Reykjavik. With its unbeatable location and picturesque sea views, Vik I Myrdal promises an unforgettable stay amidst the beauty of Icelandic nature.

  • The peak season is from July to September
  • The off-peak season is from October to December
  • Travelers tend to stay 2 days in Vik I Myrdal
  • What to see in Vik I Myrdal: Landmannalaugar, Black Sand Beach, Black Beach

3. Hofn

Hofn, located in the Eastern Region of Iceland, offers a unique vacation experience for families. With its stunning glaciers, mountains, and waterfalls, the geographic affinities of Hofn provide breathtaking scenery. Visitors can engage in various activities such as glacier tours, exploring nature, and visiting museums. The town is renowned for its delicious seafood, offering a culinary delight for the whole family. With attractions like Jokulsarlon Glacier Lagoon, Hengifoss waterfall, and Vestrahorn mountain, Hofn guarantees an unbeatable location for a memorable stay in Iceland. Don't miss out on the opportunity to witness the mesmerizing Northern Lights during your visit.

  • The peak season is from June to August
  • The off-peak season is from October to December
  • Travelers tend to stay 2 days in Hofn
  • What to see in Hofn: Jokulsarlon Glacier Lagoon, Hengifoss, Vestrahorn

4. Selfoss

Selfoss, located in the Southern Region of Iceland, offers a unique vacation experience for outdoor enthusiasts. With its breathtaking waterfalls, scenic landscapes, and opportunities for hiking, it is the perfect destination for families seeking adventure. The friendly locals and secluded countryside add to the charm of the area, making it an ideal place for horseback riding and exploring the Icelandic nature. In addition, Selfoss is known for its northern lights sightings, which provide a magical experience for visitors. With a variety of destination activities and things to do, such as visiting Reykjavik Harbour, exploring Laugavegur street, and discovering Thingvellir National Park, Selfoss is an unbeatable location for a memorable family vacation in Iceland.

  • The peak season is from June to August
  • The off-peak season is from October to December
  • Travelers tend to stay 2 days in Selfoss
  • What to see in Selfoss: Reykjavik Harbour, Laugavegur, Thingvellir National Park

Best times to go to Iceland

The travel seasons of Iceland

Trips to Iceland show no change in popularity throughout the year. The peak season to visit is from June to August, with June being the highest month. Off-peak season starts from October to December, and May sees the least travelers.

Iceland has something in store for you whenever you visit. January is the coldest month of the year, while July is hottest, with average temperatures up to 52.9 degrees Fahrenheit. The wettest month in Iceland is October, so pack accordingly.

calendar iconCalendar Monthtemperature iconTemperaturerain iconPrecipitationcloud iconCloudiness
January25.5°F (-3.6°C)Light RainMostly Cloudy
February32.5°F (0.3°C)Light RainMostly Cloudy
March33.4°F (0.8°C)Light RainMostly Cloudy
April38.5°F (3.6°C)Light RainMostly Cloudy
May38.5°F (3.6°C)Light RainMostly Cloudy
June49.8°F (9.9°C)Light RainMostly Cloudy
July52.9°F (11.6°C)Light RainMostly Cloudy
August51.8°F (11.0°C)Light RainMostly Cloudy
September47.1°F (8.4°C)Light RainMostly Cloudy
October34.9°F (1.6°C)Light RainMostly Cloudy
November36.0°F (2.2°C)Light RainMostly Cloudy
December30.7°F (-0.7°C)Light RainMostly Cloudy

Food and dining in Iceland

As a traveler in Iceland, you will be delighted by the diverse and distinctive local cuisine. One popular restaurant in the neighborhood is Suður-Vík Restaurant, a highly rated bistro known for its slick ambiance and fantastic Icelandic food. Another option is Greifinn, a moderately rated pizzeria that is highly popular among locals and travelers alike. If you're in the mood for European Scandinavian cuisine, Englendingavík is a highly rated restaurant worth visiting. As you stroll along the restaurant street, be sure to try a bowl of kjötsúpa, a traditional Icelandic meat soup that will warm your soul.

How do I find a great hotel with Travelocity?

Ensure your entire crew enjoys an unforgettable vacation by finding the ideal accommodations through our reliable online travel platform. Discover hotels that prioritize family-friendly amenities with our convenient badge, and utilize our custom filters to narrow down options based on proximity to top attractions, enhanced cleaning measures, and affordability.

Why should I book with Travelocity?

Conference calls, to-do lists and, of course, football practice. Busy lives and packed schedules call for trips that are hassle-free. Our aim is to provide stress-free travel every time you and your family book with us so that you can spend less time worrying and more time creating cherished memories. To that end, we will assist you in finding and planning your ideal trip, along with offering transparent pricing and reliable reviews, and 24/7 guaranteed customer support before, during, and after your vacation.

How can I save money on my trip to Iceland?

Save money on your trip to Iceland by visiting during the less popular season from October to December. You can also save by bundling your flights, hotel, and car bookings together for a discounted price. When exploring locally, consider visiting the friendly people, dining at local restaurants, and enjoying the beautiful nature and waterfalls. These inexpensive activities will allow you to experience the best of Iceland without breaking the bank.

Recent Iceland hotel reviews by fellow wanderers