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The best hostels in South Iceland

Check out our pick of great hostels in South Iceland

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Review score

Superb: 9+ Very good: 8+ Good: 7+ Pleasant: 6+
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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.

Buffet and continental breakfast options are available at the hostel. We stopped at Midgard Base Camp for one night only and will remember this place, mostly because of an amazing staff that helped us plan out the day and see our first northern lights! If we can come back to Iceland, we will definitely stay here again! Perfect place to wash clothes and dry hiking shoes as well.

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9.1
Superb
2,113 reviews
Price from
US$37
per night

Located in Fludir, 25 km from Geysir, Efra Sel Hostel provides accommodation with a garden, free private parking, a shared lounge and a terrace. The accommodation offers a shared kitchen and free WiFi. Not much crowded. Calm and well prepared kitchen.

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9.2
Superb
123 reviews
Price from
US$94
per night

The rooms in the hostel are fitted with a coffee machine. Featuring a shared bathroom with a shower and a hairdryer, rooms at The Coffee House also boast free WiFi. The units will provide guests with a fridge. Such a good and cozy house. It was nicely warm and everything was perfect. The house has everything you might need and the room was so cozy. The location was amazing and since it is in a place in the middle of nowhere, we saw the northern lights so well!

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9
Superb
252 reviews
Price from
US$87
per night

This Icelandic horse farm provides accommodation in Haukadalur Valley, 90 minutes’ drive from Reykjavik. Overlooking Geysir, it offers a guest lounge, garden and horse riding tours.

Some of Geysir Hestar’s accommodation options feature a kitchen and a seating area with sofa. Toilets and showers are either private or shared. Amazing place 😍 everything was perfect and we saw the northen lights right here! Also there is a local restaurant/pub 6 minutes walk.

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9.2
Superb
668 reviews
Price from
US$81
per night

The Barn is located near the village of Vík between the Mýrdalsjölill Glacier and the southern coast of Iceland. This hostel provides free WiFi and complimentary parking on site.

The Barn features a communal kitchen and an information desk. Guests are provided lockers for their personal belongings. A hostel bar is at your disposal. The view is amazing. The bed is comfortable, and very soundproof. My room is right by the shower and toilet, but I can hear nothing. Nice and spacious kitchen

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8.6
Fabulous
5,906 reviews
Price from
US$60
per night

Set 26 km from Kirkjubæjarklaustur in the South Iceland Region, 40 km from Fagrifoss, Hvoll Guesthouse features a barbecue and views of the mountain. Systrafoss twin falls is 24 km away.

All rooms are fitted with a shared bathroom. Hvoll Guesthouse features free WiFi . cleanliness; ease of checking in and out; parking

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8.1
Very good
3,253 reviews

Bakki Apartments & Hostel offers dorm rooms and self-catering apartments by the sea in Eyrarbakki village. WiFi and parking are free. Reykjavík city centre is a 50-minute drive away.

Bakki Hostel's dormitory rooms have access to shared bathrooms, a guest lounge and a communal kitchen with tea/coffee facilities. This place really exceeded our expectations. It is listed as a "hostel" but it is one of a kind. It was like staying in a proper hotel, as we chose the "rent apartment" option.

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8.9
Fabulous
1,539 reviews
Price from
US$56
per night

Set a 10-minute drive from Jökulsárlón Glacier, this farm Guesthouse offers rooms with free Wi-Fi and mountain views. Iceland’s Ring Road is right next to the property.

Guest rooms at Skyrhusid Guesthouse have an in-room wash basin. All have access to shared bathroom facilities. Bed linen and towels are included. Very clean , great staff, fast check in , free snacks (1per person). Good location if you’re taking an Ice cave tour.

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8.8
Fabulous
1,578 reviews
Price from
US$149
per night

Set in a 1920s former school building, Héradsskolinn offers both private rooms and dorms. All rooms feature bright décor, lake- or mountain views and access to a pool table and TV lounge. Guests can choose between rooms with private or shared bathrooms. the house is beautiful with history and the staff very friendly

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8.4
Very good
1,453 reviews
Price from
US$94
per night

Overlooking Höfn Harbour and Vatnajökull Glacier, this hostel features a guest kitchen, BBQ area and laundry facilities.

Höfn Hostel offer some rooms with shared bathroom and some with private bathrooms. Some rooms are accessible. The facilities provided are plenty enough for all guests.

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8.9
Fabulous
2,842 reviews
Price from
US$52
per night

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