There are a few things you absolutely need to plan ahead for: your taxes, packing that hospital bag for when the baby arrives, and booking your Iceland accommodation.
When booking your trip to Iceland, I recommend securing a place to stay, like, YESTERDAY!
You see, the demand for accommodation here far outweighs what’s available.
Iceland is a tiny country trying to keep up with the explosion in tourism, but its accommodation options haven’t quite kept up, especially outside Reykjavík.
So, what are the locals doing to combat the issue?
It’s a little bit chaotic, to be honest!
People are getting creative, renovating their old farmhouses, renting out their second homes, and even their primary residences.
Curious about the types of accommodations in Iceland and common booking mistakes to avoid? I’ve got you covered!
I’ll also answer your top questions and share my favorite resource for finding the perfect place to stay.
Let’s get into it!
Table of Contents:
- Things to Consider When Booking Iceland Accommodation
- Common Mistakes When Booking Accommodation in Iceland
- Types of Accommodation in Iceland
- FAQs
- The Best Way to Book Your Accommodation: Booking.com
Things to Consider When Booking Iceland Accommodations
Here are a few things you need to think about when choosing the right place to stay in the land of fire and ice.
Time of year: Timing is everything when you’re visiting Iceland. Are you planning a trip during peak season? Iceland accommodations fill up fast, especially in the summer! If you decide to go in the shoulder months or in winter, you may score on cheaper flights and accommodation.
Cancellation Policy: Look for a place with flexible cancellation policies. Plans can change, and having that flexibility will give you peace of mind knowing you’re not bound to something if your plans change.
Reviews: If the reviews are saying that the place is grubby, (EW, dirty linens!) it’s best to give it a skip! Pay attention to what other travelers are saying.
Location, location, location: Are you taking a road trip to some off-the-beaten-path spots? Keep in mind that weather and road conditions can impact your travel times, so trips might take longer than expected. Accommodations close to remote attractions might be scarce, so you may need to find a base town where you can stay overnight.
🗺️ That’s where my Iceland Ring Road Map + Guide comes in!
No more frantic google searches for where to stay when you’re out exploring secret spots in the middle of nowhere!
This 176-page guide is packed with information including my recommendations for Iceland accommodations, must-see attractions, restaurant recommendations, planning checklists, and exclusive discounts.
Plus, a digital map with hundreds of pinned locations from major attractions to hidden gems and practical information like where you’ll find the nearest grocery stores, restrooms or places to fuel up.
With over 200 five-star reviews, this guide is a game-changer!
Trust me, trying to figure out Iceland solo is like baking a cake without a recipe. The Iceland Ring Road Map + Guide will save you time, money, and your sanity! 😂
Common Mistakes When Booking Accommodation in Iceland
I keep seeing travelers make the same mistakes time and again when they visit Iceland.
Most of these come from assuming things will be like they are back home, or elsewhere in Europe.
So, here are some common mistakes to avoid when booking your Iceland accommodation.
Booking Too Late
I’ve seen so many people try to book last minute and find everything sold out – like, literally nothing left.
And then there are the ones who do find a room, but it’s $500 a night. That’s just crazy! Let’s avoid that stress by planning ahead.
Pro tip: I ALWAYS recommend making a reservation early. Even if you end up needing to cancel or change your plans later, it’s way better to have something secured.
I love using Booking.com for this because they often offer free cancellation up until a certain date. This gives me peace of mind if my plans change.
Not Booking Accommodation With Meals Included
A common mistake is assuming that Iceland accommodations serve meals or have a restaurant on site – many don’t.
So, when booking a place to stay, I highly suggest finding a bed and breakfast or hotel that includes breakfast. Trust me, it’ll save you a lot of hassle!
Here’s why: if you think you can head out at the crack of dawn and grab breakfast at a restaurant before exploring – think again!
Finding restaurants that serve a hot breakfast or open super early just isn’t a thing here.
I recommend using the filters on Booking.com to filter accommodations by ones that have a breakfast option.
If you want to learn more about Iceland’s breakfast culture and what to expect, check out this post. 👇
➡️ READ: Breakfast in Iceland: Top Eateries, Expert Tips, Breakfast Culture & More
Expecting Certain Amenities
If you’ve traveled to Europe, you would’ve noticed that things are generally smaller.
The same is true here, rooms, bathrooms, sinks – things are not that spacious, unless you’re staying at one of the fancier hotels in Iceland.
Families traveling with kids often like to book a place with a pool.
However, a hotel with a pool is definitely not the norm here.
Thankfully, Icelanders have a huge pool culture.
You’ll find hot springs or geothermal pools in most towns in Iceland. It’s such a popular activity for locals, especially on weekends, whether it’s summer or winter!
So, just know that the hotels here won’t necessarily have the amenities you’re used to.
You may have to open your own doors and press your own elevator buttons, but I promise you’ll survive! 😄
On that topic, if you’re looking for some of the best hot springs and pools in the country, make sure you read this post.👇
➡️ READ: Top 10 Blue Lagoon Alternatives: Hot Springs, Pools, and Spas That Are Just as Breathtaking
Not Communicating Special Requirements
If you have specific needs, like accessibility, dietary requirements, or traveling with kids, let them know ahead of time.
This way, you can avoid any surprises and find a place that fits your needs perfectly.
Only Searching for Hotels
Another mistake I see travelers make is only searching for hotels.
If you’re looking for Iceland hotels, Reykjavík will certainly have the biggest selection.
But, you can also find cheap Iceland accommodation such as hostels, guesthouses or camping.
Just remember that you don’t always have to search for “Reykjavík hotels” when looking for a place to stay.
For more information on what to watch out for when booking your accommodation, check out this video.👇
Types of Accommodation in Iceland
In Iceland, places to stay range from charming guesthouses tucked away in scenic spots or fancy hotels in the heart of Reykjavík.
Wondering if there’s something that matches your budget? Let’s take a look.
Iceland Hotels
Some of the best hotels in Iceland and chain hotels are located in Reykjavík or the larger towns in the country.
(Don’t expect to see chain hotels in the smaller villages! )
If you value your privacy and couldn’t imagine sharing a bathroom, a hotel is your best bet!
They’re also ideal if you’re looking for a more upscale experience with amenities like a concierge service or 24-hour front desk assistance.
However, it’s always a good idea to check what amenities hotels offer beforehand.
Guesthouses
This is a great accommodation option in Iceland.
The perks are that guesthouses tend to be cheaper than hotels and it’s a good way to meet other travelers.
The downside is that you may need to share a bathroom at some of them, so make sure to find this out before booking.
What’s also nice is that because these are usually simple rooms in a private home, or separate cabins, you get more personalized service.
Some of them serve breakfast, or have kitchen facilities, which is convenient when traveling with a family.
Hostels
Hostels in Iceland are not like the ones you find elsewhere in Europe.
Unlike many hostels in Europe that feature grubby dorms where you’re all stuffed into one room, the hostels in Iceland are quite nice!
What’s great about this accommodation is that there’s definitely more of a community feel.
You can either choose a dorm-style room where you share a bathroom or one with a private bathroom, although these will be a bit more expensive. It all depends on the place.
If you’re looking for cheap Iceland accommodation, booking into a hostel is a great way of traveling on a budget.
They often have a common area where you can meet fellow travelers and there are kitchen facilities to cook.
Camping
Another great way to save money on accommodation is by camping in Iceland.
You have the benefits of experiencing the great outdoors, in one of the most beautiful places in the world!
There are many campsites available around the country and some are open year-round.
You can expect a range of different facilities and can either choose to pitch your tent or opt for a more comfortable experience by renting a camper van.
If you choose to go the camper van route, I absolutely recommend renting one from Happy Campers for an unforgettable experience.
They’re a family-run business that has been setting the bar high for campervan adventures since 2009.
You can tell they have a genuine love for Iceland and a desire to share its stunning scenery with visitors.
Their eco-friendly vans are super comfortable, especially if you’re traveling with little ones.
Plus, the service is impeccable, and they even offer a FREE shuttle service to make your trip that much easier!
🎉Get an exclusive discount code on your campervan rental when you 👉 subscribe to my email list.
FAQs
I often get Iceland accommodation questions, so hopefully these answers will clear things up and help you get the most out of your stay.
How Far in Advance Should I Book My Accommodation in Iceland?
So, my best advice is to book your accommodations as soon as you know exactly when you’re coming to Iceland.
If you’re thinking of staying in popular spots like Reykjavík and the South Coast, aim for 6 months to a year in advance.
This is going to save you stress and A LOT of money!
What are the Best Places to Stay in Reykjavík?
You’ll get plenty of great options for Reykjavík accommodations, from hotels to hostels.
These are some recommendations for different types of accommodation.
- Hostel: Kex Hostel, Reykjavík
- Guesthouse: Alba Guesthouse
- Hotel: Apotek Hotel
Remember to book early!
Want to know *exactly* where to stay on your Iceland trip?
If you’re looking for more expert tips and accommodations across the country, check out my 👉 Iceland Maps + Guides.
They’re packed with practical details like opening hours and parking fees as well as the stunning natural attractions you can’t miss!
Written by someone who’s been living and exploring Iceland for almost a decade – that’s me! 👋 You know that the tips and recommendations are based on real experience.
I’ve also included a digital map of the best attractions, plus practical information like where the closest clinics and grocery stores are.
Take a look at what Shaun had to say:
“Your books/maps were our go-to for the whole trip! We felt like we had a friend riding along with us in Iceland.”
Where to Stay in Iceland with Family?
It can sometimes be tricky to find accommodations that work well for a family. Hotels don’t often have adjoining rooms, so I suggest looking into cabins, or apartments that feel more like home.
These are also great for accommodating special requests.
Depending on your children’s ages, it might be wise to base yourself in Reykjavík and take day trips to nearby attractions.
If you’re up for an adventure, you can rent a campervan, allowing you to be more flexible with your plans, especially during the summer months.
For more helpful tips on traveling to Iceland with kids, watch this video! 👇
What Part of Iceland is Best to Stay?
This is really subjective, ultimately, it comes down to what you’re looking to get out of your trip.
Think about which sites are at the top of your bucket list and which accommodations are nearest to them.
Do you want to rough it out in the great outdoors, or prefer the comforts of a hotel?
That being said, here are a few top accommodation picks for some of Iceland’s most popular areas.
Ring Road: As I mentioned before, this is one of the most iconic routes in the country. It connects major towns and showcases Iceland’s diverse landscapes. It’s perfect for an epic road trip!
The regions covered by the Ring Road include South,East, North and West Iceland. And here are some of the accommodation options for you::
- Hotel: Hotel Kría in Vík, South Iceland
- BnB: Glacier World in East Iceland.
- Hostel: Akureyri Backpackers in Akureyri, North Iceland.
Wondering which sites you can see in 7 days on the Ring Road? Check out this post.👇
➡️ READ: Iceland Ring Road Itinerary: How To Experience the Best Attractions in Just 7 Days
Golden Circle: Another renowned route in Iceland is the Golden Circle which can be done as a day trip. However, you can definitely take your time with it and stay overnight at some of the popular spots.
- Hotels: Hotel Geysir and ION Adventure Hotel
- BnB: Galleri
- Guesthouse: White House Inn
If you’re looking to explore the lesser-known gems in this region, watch this video!👇
➡️ WATCH: Iceland Itinerary | Golden Circle Hidden Gems
The Best Way to Book Your Accommodation: Booking.com
Have you booked your trip?
Then what are you waiting for?!
It’s time to secure your accommodation.
Booking.com is my absolute go-to resource for booking and searching for accommodation in Iceland.
✅ They have a huge selection of accommodations including hotels, guest houses, and hostels.
✅ My favorite feature is the map, which is really helpful for doing your search. Type in the approximate location, click on the map search feature, and see all the properties available in and around that area.
✅ Many places on Booking.com offer pay-when-you-stay and/or free cancellation up to a certain date.
Whether you’re on the hunt for Reykjavík hotels or charming guesthouses in smaller villages, this is the number one way to book.
💥Check out 👉 Booking.com for the best places to stay in iceland- you’re bound to find something you’ll love!
Happy Planning,
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