Iceland Accommodation in Reykjavik

Where to stay in Reykjavik, Iceland?

There are a lot of fantastic Airbnbs, hotels as well as funky hostels in downtown Reykjavik and in the smaller villages around Iceland to suit different budgets.

Hotels in Iceland

If you have the money and don’t mind a short walk or taxi to the centre, I can highly recommend an Ocean View room or suite at Fosshotel Reykjavik – However, I’ve met several other travellers who have stayed there and it’s worth mentioning it’s not really worth the extra cost of staying here if you end up with a room facing the building site on the other side of the building, but we booked 2 ocean view rooms, which you can specify on their website, and the view over the city was simply STUNNING – we were even treated to a Northern Lights display on the last night right over the city and harbour – so worth it!

Iceland Airbnb

If you don’t like hotels – I can highly recommend Airbnb – there’s a huge variety of great places to stay from super expensive entire apartments or budget rooms in shared homes.

I had a great experience on my last visit staying in a lovely neighbourhood in a large home with a cool woman who turned out to be a jazz singer with lovely musician friends and was treated to performances in her music room! Experiences and connections like that simply don’t happen in a hotel.

Iceland Hostels

There are also a few hipster hostels in Reykjavik which have great reviews – KEX Hostel often has live music events and Hlummel Square Hostel is quite nice – great places to meet other travellers and socialise if you’re travelling alone in Iceland.