Reykjavik Hotels and Accommodation

(Reykjavik, Capital Area, Iceland)

Reykjavik is a fairly compact city, where hotels are spread all around the city. If you have chosen to rent a car, or are happy to rely on public transport and taxis, staying outside of central Reykjavik is perhaps the best option and accommodation here provides good value.

Visitors will soon realise that the majority of hotels in Reykjavik and throughout Iceland have one thing in common - they are expensive. Supplements are frequently charged for single travellers or one-night stays, and families looking for accommodation should be prepared to pay through the nose, although prices usually drop at the end of Iceland's peak season, from October onwards.

Where to Stay

However, there is a limited choice of budget accommodation and the Reykjavik City Hostel is particularly popular with backpackers, being operated by Hostelling International Iceland. This is the city's only youth hostel and is situated along Sundlaugavegur, close to Laugardalur Valley and its sports stadiums.

Near to the hostel and a good alternative to city hotels, the Laugardalur camping site is another good choice for those looking to stay cheaply and is open from mid-May to mid-September. Located on the very outskirts of Reykjavik, the Laugardalur camping site features a range of accommodation, such as cabins, tents and also caravans, and is around a 30-minute walk from Reykjavik city centre and well connected by regular buses. It also has the advantage of being extremely close to Laugardalslaug swimming pool, which is Iceland's biggest.

Although the Reykjavik City Hostel and Laugardalur camping site are extremely popular and busy during the summer season, many people prefer the more typical hotels, the most expensive and luxurious of which are clustered within the very heart of Reykjavik. Some of the most desirable hotels are close to the Dómkirkjan Cathedral and also the magnificent Houses of Parliament, while further accommodation is based around the acclaimed University of Iceland.