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CONTENTS
INTRODUCTION 💥
Iceland is a country of breathtaking landscapes, where every place reveals a new adventure. To make the most of this land of contrasts, choosing your accommodation is key. In my opinion, it’s actually pretty important when you want to discover Iceland: good lodging means an exceptional view in the evening for admiring the northern lights, a hot soak after a day in the cold, or a breakfast that sets you up for the day…
On our Iceland road trip, we spent 12 days and 11 nights around the Ring Road, in March. We slept in 9 different places, between guesthouses and hotels, with some real favorites 💙. And honestly, we only have good memories: everywhere, the welcome was friendly. In this article, we tell you where to stay in Iceland stop by stop, with our accommodation, what we paid, and all our tips for choosing and booking yours, whatever your budget 💰.
🗺️ Planning your trip? Find all our tips and articles in our complete guide to traveling in Iceland.
THE MAP OF OUR ICELAND ROAD TRIP 🗺️
To help you plan your itinerary, we’ve gathered every place from our 12-day road trip in Iceland 🇮🇸 on an interactive map: waterfalls, glaciers, black sand beaches, hot springs and stopover towns, all the way around Route 1. Click on each pin to discover the place in detail 📍. And to keep it handy during your trip, open it in Google Maps: you’ll find it easily on your phone 📱.
Our itinerary
Our trip to Iceland
12 days10 stops1 full loop of Route 1Dacia Duster 4x4 in winter
The stops, in order
- 1
Reykjavik
1 night
Arrival at Keflavík and car pick-up
- 2
Selfoss
1 night
Golden Circle: Þingvellir, Geysir, Gullfoss and Kerið
- 3
Hof
2 nights
South coast waterfalls, Reynisfjara, ice cave and Diamond Beach
- 4
Reyðarfjörður
1 night
The Eastfjords and the pebble beaches of Hvalnes
- 5
Egilsstaðir
1 night
Seyðisfjörður, its blue church and its rainbow street
- 6
Mývatn
1 night
Dettifoss, Hverir and the Mývatn Nature Baths
- 7
Akureyri
1 night
Hverfjall, Dimmuborgir and Goðafoss
- 8
Bifröst
1 night
Glaumbær turf houses, Grábrók crater
- 9
Hvalfjörður
1 night
The Snæfellsnes Peninsula and Kirkjufell
- 10
Reykjavik
1 night
Fagradalsfjall volcano, Blue Lagoon and Sky Lagoon
WHERE TO STAY IN ICELAND STOP BY STOP ON THE RING ROAD 🗺️
Here’s where we stayed on our trip around the island, in the order of our itinerary, with the price we paid for two (March 2023 prices, in low season: they’ve gone up since). For each stop, click the name of the place to see current availability and prices 👇.
REYKJAVIK AND KÓPAVOGUR: ARRIVAL AND DEPARTURE
For the first and last nights, we chose 201 Hótel, in Kópavogur, right next to the capital and on the way to the airport. Convenient, with breakfast included. 💰 €114 and €125 a night. And on the very first evening, we saw the northern lights above the city 😍.
SELFOSS: AFTER THE GOLDEN CIRCLE
After our day on the Golden Circle, we stayed at Lambastaðir Guesthouse, in a quiet spot outside Selfoss, with a hot tub and sauna. 💰 €135 a night.
SVÍNAFELL: THE SOUTH COAST AND JÖKULSÁRLÓN
Two nights at The Potato Storage, in Svínafell: our best accommodation of the trip ⭐. A remote spot at the foot of the glaciers, with a fully equipped kitchen, where the beauty of the country really blows you away in the evening. That’s where we saw the most beautiful northern lights of the trip, all by ourselves. An ideal base for the Jökulsárlón ice caves. 💰 €324 for 2 nights (€162 a night).
⚠️ Heads up: there’s no supermarket nearby (the closest are in Vík or Höfn), so do your shopping before you arrive.
THE EASTFJORDS: REYÐARFJÖRÐUR AND EGILSSTAÐIR
In Reyðarfjörður, we stayed at Tærgesen B&B (€102 a night), which no longer takes guests. The next night, at Hótel Eyvindará, on the edge of Egilsstaðir, a quiet hotel with a hot tub, perfect for unwinding after the fjord roads. 💰 €113 a night.
MÝVATN: STAYING ON A FARM
In Mývatn, we stayed at Vogafjós Farm Resort, chosen for its chances of seeing the northern lights. It’s a really unusual place: the rooms are separate, and breakfast is served in the farm, next to the cows 🐄! With snow all around, in the middle of winter up north, it was really, really great: a wonderful memory. Right next door, don’t miss the Mývatn Nature Baths. 💰 €130 a night.
AKUREYRI: RIGHT DOWNTOWN
At Centrum Hótel, a stone’s throw from Akureyri’s church: you can do everything on foot, with restaurants right next door. It was also our cheapest accommodation of the trip. 💰 €78 a night.
BIFRÖST AND THE WEST: IN THE MIDDLE OF NOWHERE
At Hraunsnef Country Hotel, a countryside hotel with a hot tub and restaurant, then at Hótel Laxárbakki, on the shores of Hvalfjörður, ideal after a day on the Snæfellsnes Peninsula before heading back to Reykjavik. 💰 €125 and €120 a night.
👉 In total: €1,366 for 11 nights in Iceland, or about €124 a night for two. You’ll find photos of all these places in the “Our 8 places to stay in Iceland” block at the bottom of the article.
🗺️ All these stops are described day by day in our winter road trip in Iceland.
ACCOMMODATION IN ICELAND: THE DIFFERENT TYPES OF LODGING 🏘️
It’s simple: in Iceland, you’ll have plenty of choice when it comes to accommodation, across every price range. Keep in mind that nights are fairly expensive 💸, like the country in general. You can choose very simple places, but also luxury ✨ or unusual experiences.
GUESTHOUSES
Guesthouses are ideal for those looking for an authentic experience. These family-run places often allow for warm exchanges with locals and sometimes have shared kitchens, a great way to save money (even if you’ll see that food in Iceland is very expensive 🤣). Our real favorite is still The Potato Storage, in Svínafell. Depending on the place, you may even get hot tubs included!
HOTELS
Hotels in Iceland range from simple 3-star to full-service 5-star. We stayed in several, because with guesthouses only, the accommodation budget would have been too high. The vast majority of hotels are very clean, with quality service, and breakfast is either included or available as an extra.
CABINS
For families or groups of friends, cabins offer more independence: a private space, often with spectacular views, ideal for watching the northern lights. Since there were only two of us, we didn’t try this type of accommodation, but if you’re traveling as a family or staying several days in the same place, it’s the right compromise 🏡.
UNUSUAL STAYS
If you’re looking for a unique experience, Iceland is full of unusual places to stay: remote cabins with a geothermal bath ♨️, transparent bubbles for stargazing ✨ or traditional farms 🐑. We didn’t try this type of accommodation (apart from our night at the Vogafjós farm), as it can get expensive fast, but there are lots of options for an unforgettable stay.
WHAT BUDGET SHOULD YOU PLAN FOR ACCOMMODATION IN ICELAND? 💸
Iceland is one of the most expensive countries in the world 💰: best to be prepared before you set foot there! Unlike other destinations where the plane ticket is a big expense, here it won’t weigh much compared to everything you’ll spend on site ✈️.
The accommodation budget varies hugely depending on the standard and the season 📆. Expect about €100 to €150 a night for a decent double room, and prices can easily climb to €500 and up. For 11 nights in March 2023 (low season), we paid €1,366, from €78 to €162 a night. Prices have of course gone up since.
👉 For budget accommodation in Iceland: go for guesthouses with a kitchen, towns like Akureyri rather than very touristy areas, and book early. The full trip budget is detailed in our article how to pay in Iceland 💳.
SEASON AND PRICES ❄️
- 🌞 Summer (June to August): it’s high season, and prices for accommodation and rental cars skyrocket. The best places get booked months in advance.
- ❄️ Winter (November to March): prices are more affordable, but some regions become hard to reach because of the weather. Stay close to the Ring Road, like we did.
- 🍂 Shoulder seasons (April-May, September-October): a good compromise between weather and prices, with slightly fewer tourists, even if it’s still busy for a small country like Iceland.
WHEN TO BOOK YOUR ACCOMMODATION IN ICELAND? 💳
Iceland attracts more and more tourists every year, while accommodation outside the capital remains limited. In summer, demand explodes: book your accommodation and your rental car at least 6 months in advance to have a choice.
- 📍 Tourist crowds: the best-known sites will always be busy, but if you venture north or far from the capital, you’ll have a better experience.
- 🏕️ Unusual stays: very popular, they often work on a first-come, first-served basis. Plan to book 10 months to 1 year in advance.
- ✅ Go for free cancellation: in winter, the weather may force you to change your itinerary.
RENTING A CAR IN ICELAND 🚗
To explore Iceland, we think a rental car is the best option: you’re free to string together waterfalls, glaciers, black sand beaches and hot springs at your own pace, and stop whenever a landscape catches your eye, without depending on organized tours 🏔️.
We drove all the way around Iceland on Route 1 in a 4×4, in the middle of March, and everything went really well. Here’s the agency we used and recommend, plus an alternative if you’d rather compare 👇
Our rental tip
Renting a car in Iceland
The agency we used, and an alternative to compare.
Blue Car Rental
Iceland's largest local rental company
We rented our Dacia Duster 4x4 with them for the whole loop around the island: we recommend them without hesitation!
Our budget€62013 days, full insurance · ~€48/day
- Tested on all of Route 1
- Insurance included, no deposit
- Free cancellation
DiscoverCars
Rental comparison site
To compare several Icelandic rental companies in a single search.
Excellent rating290,000+ Trustpilot reviews
- 1,000+ rental companies compared
- Free cancellation
- 24/7 support
To compare before you choose
Good to know before you rent
- Gravel, sand and ashThe wind blasts gravel and sand onto the bodywork: make sure these protections are included.
- Check the roads every morningLook at road.is and safetravel.is before setting off: in winter, a road can close within a few hours.
- Your French driving license is enoughIt's accepted in Iceland. The international driving permit is optional: only if you want one.
- Photos and video at pick-upFilm the car from every angle when you collect it, to avoid any dispute when you return it.
- Fill up whenever you canGas stations are rare in the East and North, and often self-service: bring a card with a PIN code.
- Hold on to the doorsIn strong winds, a door can be ripped off as it opens: park facing the wind and open gently.
EXPLORE ICELAND ON A TOUR 💸
▶️ If you don’t have a car, or for certain activities like the ice caves, tours are a good solution. They can get expensive fast 💰: in high season, lock in your dates quickly. You’ll find lots of tours on GetYourGuide, with free cancellation on most of them 👇.
OUR TAKE ON ACCOMMODATION IN ICELAND 💭
We didn’t have a single disappointing place: some more expensive, some more comfortable, but everywhere a friendly welcome and clean rooms. If we had to keep just two, it would be The Potato Storage for its northern lights and its remoteness, and the Vogafjós farm for its breakfast among the cows 🐄.
Our advice: alternate guesthouses and hotels to stay on budget, go for places with breakfast included (we used it to make our lunch sandwiches), and head for the countryside on winter nights: it’s far from the lights that the northern lights are most beautiful 🌌.
👉 What about you? Guesthouse, hotel or unusual stay for your trip to Iceland?
FAQ: YOUR QUESTIONS ABOUT WHERE TO STAY IN ICELAND ❓
These are the questions people often ask before booking accommodation in Iceland. Feel free to ask yours in the comments, and I’ll add to this FAQ 💬.
The easiest way is to change accommodation almost every night along the Ring Road: Reykjavik, Selfoss, the south coast toward Svínafell, the Eastfjords, Mývatn, Akureyri and then the west. That’s what we did in 12 days and 11 nights.
Expect about €100 to €150 a night for two in a decent double room, more in summer or in high-end places. We paid €1,366 for 11 nights in March 2023, or about €124 a night.
Go off-season, book early, favor guesthouses with a kitchen to cook your meals, and towns like Akureyri. Our cheapest place was Centrum Hótel in Akureyri, at €78 a night.
Both are good. A guesthouse is often cozier and sometimes has a kitchen; a hotel is more convenient for a one-night stop, with a reception and breakfast. We alternated between the two to stay on budget.
At least 6 months ahead for summer, and 10 months to 1 year for unusual stays. In winter, you’ll have more choice, but the best places still go fast.
Far from city lights, in the countryside: we saw our most beautiful northern lights from The Potato Storage, in Svínafell, and we chose the Vogafjós farm in Mývatn for its chances of seeing them. We also saw them in Reykjavik on our very first night.
Accommodation is scarce around the glacier lagoon. We spent two nights at The Potato Storage, in Svínafell, about 45 minutes from Jökulsárlón. Remember to do your shopping beforehand, as there’s no supermarket nearby.
No, wild camping in a van or camper is forbidden: you have to stay at campsites, many of which close in winter. The topic is covered in detail in our article on renting a car in Iceland.
It’s very useful for saving money, as restaurants are expensive and few and far between on the road. Otherwise, make the most of included breakfasts and Bónus or Krónan supermarkets to prepare your lunches.
The Potato Storage, in Svínafell: a remote place at the foot of the glaciers, with a fully equipped kitchen, where we saw magnificent northern lights, all by ourselves.
WHERE TO STAY IN ICELAND 🏨
During our 12-day road trip in Iceland 🇮🇸, we slept in 9 different places, alternating between hotels and guesthouses, almost all booked on Booking. Changing accommodation every night is the best way to loop around the island without piling up hours of driving 🚗.
OUR TIPS FOR CHOOSING THE RIGHT PLACE TO STAY
- 📅 Book ahead: outside Reykjavik, accommodation is scarce and the best places go fast.
- 🍳 Breakfast included: very handy, because cafés and restaurants are rare on the road. We often used it to make our lunch sandwiches.
- 🛒 A kitchen in remote areas: around Jökulsárlón, the nearest supermarket can be more than an hour’s drive away. Do your shopping before you arrive.
- ♨️ A hot tub: after a day in the cold and wind, it’s pure bliss. Several of our places had one.
- 🌌 Away from the lights: in winter, a place in the countryside gives you a better chance of seeing the northern lights right from your door.
- ✅ Free cancellation, to stay flexible if the weather forces you to change your itinerary.
HOTEL OR GUESTHOUSE IN ICELAND?
Both have their advantages. A guesthouse is often cozier, sometimes with a kitchen to cook your own meals. A hotel is more convenient for a one-night stop, with a reception desk, a restaurant and often breakfast included. As for us, we liked both. It all depends on what you want, your budget and how you like to travel.
HOW MUCH DOES ACCOMMODATION COST IN ICELAND?
Iceland isn’t a cheap destination, and accommodation is one of the biggest items in the budget. We paid between €78 and €162 a night for two. To be completely transparent with you: €1,366 for 11 nights, or about €124 a night on average (that was in 2023, prices may have changed since).
👇 Here are the 8 places where we slept during our road trip that still welcome travelers, in the order of our itinerary.
Tested during our road trip
Our 8 places to stay in Iceland
GuesthouseHotel
-
HotelReykjavik201 Hótel (Kópavogur)
Right next to the capital, handy for the first and last night of the road trip.
- Double room
- Breakfast included
- Close to Reykjavik
- Guesthouse
SelfossLambastaðir Guesthouse
A quiet guesthouse, perfect for sleeping after a day on the Golden Circle.
- Hot tub and sauna
- Breakfast included
- After the Golden Circle
- GuesthouseOur favorite
SvínafellThe Potato Storage
Our absolute favorite of the trip: an exceptional place at the foot of the glaciers.
- Our best place to stay
- Fully equipped kitchen
- Close to Jökulsárlón
- Hotel
EgilsstaðirHótel Eyvindará
A quiet hotel on the edge of Egilsstaðir, with a hot tub to unwind.
- Hot tub
- Breakfast included
- Near Seyðisfjörður
- Hotel
MývatnVogafjós Farm Resort
A farm on the shores of Lake Mývatn, chosen for watching the northern lights.
- Ideal for the northern lights
- On-site restaurant
- Breakfast included
- Hotel
AkureyriCentrum Hótel
Right in the town center, a stone's throw from Akureyri church: you can do everything on foot.
- Town center
- Breakfast included
- Superior room
- Hotel
BifröstHraunsnef Country Hotel
A country hotel in the middle of nowhere, with a hot tub and a restaurant.
- Hot tub
- On-site restaurant
- Breakfast included
- Guesthouse
HvalfjörðurHótel Laxárbakki
A stop on the edge of the fjord, ideal after a day on Snæfellsnes.
- Hot tub
- On-site restaurant
- Heading back to Reykjavik
MY MUST-HAVE TRAVEL GEAR 🧳
It’s a question that comes up a lot when preparing a trip “What should I bring?” And in Iceland even more than elsewhere, because the cold, wind and rain can quickly ruin a day if you’re poorly equipped 🥶. That’s why you’ll find below the travel accessories we had in our bags. Planning ahead and getting these items in advance helps you save money and avoid paying for some of them on the spot, where everything costs much more 💸 These are the accessories we took to Iceland in the middle of winter 👇.
Our road trip checklist
What to pack for Iceland?
What we had in our bags for 12 winter days. Good news: the outlets are the same as in France, no adapter needed.
0 / 12 in my suitcase · check what you already have
- Essential
Cold & snowHeat Holders thermal socks
The ones we took: to keep your feet warm on walks in the snow.
- Essential
Cold & snowThermal underwear
Thermal leggings and T-shirt under your clothes: the basics for facing the Icelandic wind.
- Essential
Cold & snowWarm gloves
A pair of ski gloves against the wind, and a thin pair for taking photos.
- Essential
Cold & snowBeanie and neck warmer
The wind is often strong, especially near the waterfalls and on the black sand beaches.
- Essential
Cold & snowWaterproof hiking boots
Icy trails, snow and waterfall spray: dry feet all day long.
- Essential
ElectronicsPower bank
The cold drains batteries fast: your phone lasts until evening.
- Recommended
Baths & waterWaterproof phone pouch
To take photos in the hot baths with no risk to your phone.
- Recommended
Baths & waterMicrofiber towel
Light and quick-drying: handy for baths and hot springs.
- Recommended
Baths & waterWater bottle
Tap water is excellent in Iceland: no need to buy bottles.
- Bonus
Travel & securityEmergency blanket
Keep it in the car, in case a closed road forces you to wait.
- Bonus
Travel & securityTSA lock
To lock your suitcase on the plane, with no risk of it being broken at security.
- Bonus
Travel & securityAirTag
To track your suitcase if your luggage is delayed or lost.
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