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The best cheap hotels in South Iceland

Check out our pick of great cheap hotels in South Iceland

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Superb: 9+ Very good: 8+ Good: 7+ Pleasant: 6+
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Set in Jökulsárlón, 11 km from Jokulsarlon Glacier Lagoon, Hótel Jökulsárlón - Glacier Lagoon Hotel offers accommodation with a fitness centre, free private parking, a restaurant and a bar. The accommodation provides a concierge service, a tour desk and luggage storage for guests. Hotel brand new. Room very spacious. Very good breakfast. Friendly staff

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9.5
Exceptional
1,812 reviews
Price from
US$341
per night

Set in Höfn in the South Iceland region, REY Stays - House features a garden. This property offers access to a terrace, free private parking and free WiFi.

The apartment consists of 2 bedrooms, a living room, a fully equipped kitchen with an oven and a kettle, and 1 bathroom with a shower and a hair dryer. Towels and bed linen are featured in the apartment. The accommodation is non-smoking. Great design and perfect for family Location a few minute drive from town

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9
Superb
1,034 reviews
Price from
US$313
per night

Situated in Ölfus, 48 km from The Pearl, Hotel Kvika features accommodation with a garden, free private parking, a terrace and a bar. Located around 48 km from Hallgrímskirkja Church, the hotel with free WiFi is also 49 km away from Solfar Sun Voyager. Guests can use the sauna and the hot tub, or enjoy mountain views. we enjoyed our stay in this hotel, very stylish, comfy and delisios breakfast was served. as a bonus we saw a nothernlight through the window.

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9.1
Superb
2,064 reviews
Price from
US$164
per night

Set within 41 km of Seljalandsfoss and 45 km of Thjofafoss in Hella, Loa's Nest features accommodation with seating area. Featuring a shared kitchen, this property also provides guests with a sun terrace. The guest house also offers free WiFi, free private parking and facilities for disabled guests. The friendly staff, facilities, private bath, food in the morning. Great place to see northern lights

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9.7
Exceptional
2,291 reviews
Price from
US$154
per night

Bjork Guesthouse, a property with a garden, is located in Laugarvatn, 25 km from Thingvellir National Park, 29 km from Geysir, as well as 39 km from Gullfoss Waterfall. This guest house provides free private parking and full-day security. Featuring family rooms, this property also provides guests with a picnic area. Very convenient location and everything is well maintained.

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9
Superb
1,256 reviews
Price from
US$139
per night

Located in Hvolsvöllur and with Seljalandsfoss reachable within 22 km, Midgard Base Camp provides concierge services, non-smoking rooms, a shared lounge, free WiFi throughout the property and a terrace. Providing a restaurant, the property also has a garden, as well as a sauna and a hot tub. The accommodation features evening entertainment and a tour desk. We shared the dorm type room with 4 friends. Loved the overall vibe of the place. Each bunk bed has a curtain infront which adds a bit of privacy.

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9.1
Superb
2,118 reviews
Price from
US$37
per night

Árbakki Farmhouse Lodge offers a hot spring bath and free private parking, and is within 18 km of Geysir and 28 km of Gullfoss Waterfall. Featuring a shared kitchen, this property also provides guests with a picnic area. Guests can make use of the sun terrace or the children's playground, or enjoy views of the mountain and river. Lovely stay and Anna was very helpful to guide us to the nearby attractions. Highly recommend.

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9.3
Superb
1,377 reviews

The family-owned Hótel Lækur is set on an Icelandic horse farm, between the Golden Circle and the south coast. Hella is 10 minutes’ drive away. It offers a sun terrace and a guest lounge.

The bright, modern rooms feature wooden floors and private bathrooms. Some include either a terrace or balcony. The surrounding views take in the Hekla and Eyjafjallajökull volcanoes. beautiful remote countryside. scenery was gorgeous. room was well appointed. manager even did a wake up call before midnight if northern lights were spotted!

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9
Superb
1,240 reviews
Price from
US$250
per night

This family-run property is 400 metres off Route 1 and 15 km from Selfoss. It offers free Wi-Fi and a terrace. Homemade bread, jam and pastries are served for breakfast.

Guesthouse Bitra B&B’s simple rooms have either private or shared bathroom facilities. They provide views of Mount Hekla or the surrounding countryside. It's a warm, welcoming and very clean place. The room was very cozy and the hosts were very friendly and helpful. The breakfast was delicious and with a lot of options. I really recommend this place.

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9.3
Superb
1,221 reviews
Price from
US$154
per night

Free WiFi is offered throughout Farmhotel. Free parking is also available on site.

Efstidalur Farmhotel has Icelandic horses for hire, which is an ideal way to explore the surrounding countryside. Lake Laugarvatn is 12 km away. The cows, the ice cream, the location just down the road from the Geysir and National Park. A must stay for families!

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9
Superb
1,030 reviews
Price from
US$138
per night

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