From the breathtaking Northern Lights to soothing hot springs there are more than a few reasons to visit Iceland.
While Reykjavik is the obvious starting point, true adventure seekers will make their way around the country. Stop by Keflavík to stay close to the Blue Lagoon, Siglufjordur for coastal fjord views and Laugar to catch the northern lights.
To see it all, we've hand-picked the best accommodation options the Iceland has to offer.
Top Iceland hotels in South Iceland
Top Iceland hotels in North Iceland
How did we pick these Iceland hotels?
Our editorial team selected the Iceland hotels on this list based on price, location and real customer feedback from hotel booking sites and review platforms. Where applicable, we used our own personal experiences to make recommendations.
Which sites let me book Iceland accommodation with free cancellation?
These sites let you make a refundable booking for your trip to Iceland, so there's less risk of losing the cost of your stay or deposit. Some sites only offer free cancellation on select Iceland hotels or at a slightly higher rate, so it's best to check the terms on your booking before confirming your stay.
Most sites, like Wotif or Expedia, will clearly state whether each Iceland hotel is non-refundable.
See the latest coupon codes
Which sites let me use a coupon code to book Iceland accommodation?
Using one of our coupon codes at these sites will save you money on your Iceland stay. Some may ask you to pay for your stay upfront rather than on arrival in order to apply the code to your Iceland booking, but the same cancellation policy does apply so if you are able to cancel, you'll be able to get refunded.
Which sites let me book Iceland accommodation without a credit card?
If you don't have a credit card to make your Iceland booking, but would like to reap the rewards of one, compare credit cards that offer hotel rewards here
Which Iceland hotel booking sites have rewards programs?
Get access to cheaper prices, collect points toward free stays and get extra perks like Wi-Fi or breakfast if you book your Iceland accommodation on sites like these:
- Wotif: Part of the same family, Wotif lets you access the same benefits as the Expedia Rewards program. You'll get access to lower rates and earn points, which can be used toward discounted stays in the future. Depending on how often you make bookings, you'll be able to get bigger discounts and earn more perks like breakfast.
- Agoda: PointsMAX lets you earn up to 6,000 points for your stay that you can put toward a preferred loyalty or frequent flyer program, including KrisFlyer and Velocity.
- Trip.com: Trip Coins is Trip.com's rewards program where you can earn $1 for every 100 Trip Coins. It's free to join the program. Membership tiers from Silver, Gold, Platinum and Diamond have different perks to enjoy.
- Hotels.com: Collect one stamp for every night's stay. Once you stay for 10 nights, you'll be able to redeem one free night up to the average value of your previous 10 nights.
- Expedia.com.au: Access lower rates as a member and earn Expedia points on bookings, which can be used toward discounted stays in the future. Different levels of membership get you access to deeper discounts and perks, such as free breakfasts.
- Marriott: The Marriott Bonvoy Benefits program lets you earn points towards free nights, access special member rates, get free Wi-Fi with your stay and check into your room via the mobile app. There are different status levels depending on how often you stay, starting with Silver Elite (10 nights per year).
Iceland hotel deals
Feature image: Grand Guesthouse Gardakot