Iceland hotels have never been more affordable, and travelers will experience the spirit of Iceland the minute they walk through the door of a hotel. Local, creative people have designed hotels that are comfortable, historical, and have an edge, and even luxury hotels in Iceland can be affordable for travelers with a little extra cash to spend. Budget Iceland accommodation is available as well, but as to be expected, location and amenities are typically sacrificed for a low price. Hostels and affordable airfare have made Iceland accessible to backpackers in recent times. Whether you arrive for a weekend city vacaiton, to gaze at the natural wonders of the country, or both, you’re sure to experience the enchanting atmosphere Iceland has become known for.

The best Iceland hotels offer a combination of location, comfort, and affordability. Visitors can expect to pay between 60 and 100 euros a night for a basic room in a hotel, and approximately 200 euros a night for a room in a four-star hotel. Similar to many other European countries, a bed in a hostel can be secured for between 20 and 30 euros a night. Hostels in Iceland are generally known for being clean and comfortable, but they are often a center for nightlife. If you’re looking for a quiet place to get some rest, it is best to book into a hotel than a hostel, where you might be kept awake.

Prime location is one of the best attributes of luxury hotels in Iceland. The Hotel Borg (pictured) for example, is a four-star hotel with a great location in old Reykjavik. Neoclassical in design, this Iceland accommodation is known for opulent rooms and quality service. Another option with a great location is Hotel Reykjavik Centrum, set on one of the city's oldest streets. Despite the history of this hotel, travelers can expect rooms to be modern and stylish. Luxury hotels in Iceland also cater to business travelers and conferences, which you may see during your stay.

Iceland Map

Another option for Iceland accommodation is self-catering apartments. Often set in residential neighborhoods, these rentals offer extra space and the ability to prepare your own food. If you’re traveling on a budget but don’t like the sound of a noisy hostel, self-catering could be a good option for you. In the peak travel season of mid-June to August, this is a popular option, and is often reserved in advance. If you’re planning on visiting Iceland during this time, it is best to book as far in advance as possible. Planning ahead will also earn you the best possible rate.

Iceland hotels range from small properties with fewer than twenty rooms to large business hotels. Visitors are more likely to get a discount at the smaller, privately owned properties. Part of the fun of these boutique properties is their design, as Icelandic people are known for their creativity, and this is reflected in the style of hotels. Many hotels include breakfast in the rate, and will recommend the top attractions, museums, restaurants, and nightlife to their guests. Spa hotels are available along the coast and on the islands, and lodges are available to help travelers explore the national parks. No matter what type of property you choose, the landscape, people, and attitude of Iceland will captivate you.