Guesthouses in Iceland

Looking for a stay that’s cozy, affordable, and full of local charm? Iceland guesthouses are the way to go! 

Whether exploring Reykjavik or chasing the northern lights along the Ring Road, a guesthouse in Iceland gives you a warm, homey place to rest. Expect friendly hosts, comfy rooms, and the chance to meet fellow travelers—all while soaking in Iceland’s incredible landscapes.

Why Stay In a Guesthouse in Iceland?

Iceland guesthouses are cozy, affordable, and full of character. Here's why they're a great choice:

• Cozy and homey – Fewer rooms, relaxed vibes, and a personal touch make guesthouses in Iceland feel like home.

• Personalized service – Many are family-run, so expect friendly hosts, local tips, and even homemade breakfasts.

• Local vibes – Get insider recommendations on hidden gems, great restaurants, and the best activities in Iceland.

• Budget-friendly – Guesthouses in Iceland offer both private rooms and shared spaces, often with kitchens to save on meals.

• Social atmosphere – Common areas make it easy to meet fellow travelers and swap stories.

• Eco-friendly – Many focus on sustainability, using local ingredients and green energy.

A guesthouse in Iceland isn’t just a place to sleep—it’s a chance to experience the local culture, connect with people, and enjoy the stunning scenery.

Best Areas To Stay In Iceland

Picking the right spot to stay in Iceland can make your trip even more unforgettable. Guesthouses are a popular choice for travelers, thanks to their cozy and personal features that hotels often lack. Plus, many guesthouses in Iceland are set in stunning locations. 

For a homey and comfortable experience, here are some of the best places to stay in Iceland:

1. Reykjavik – The capital's cozy guesthouses ensure easy access to restaurants, nightlife, museums, and day trips and tours in Reykjavik. They're a great base for exploring the city and its nearby spots, including the Blue Lagoon.

2. Golden Circle – Guesthouses along this famous route keep you close to the Gullfoss waterfall, Geysir geothermal area, and Thingvellir National Park. Enjoy a peaceful stay while exploring the best Golden Circle tours in Iceland.

3. South Coast – A guesthouse in Iceland’s south puts you near black sand beaches, glaciers, and stunning waterfalls like Skogafoss and Seljalandsfoss. Staying at a guesthouse here is also ideal for road trips and South Coast tours in Iceland. 

4. North Iceland – Staying in a guesthouse in North Iceland opens opportunities for unique experiences like whale watching in Husavik and exploring volcanic landscapes. Enjoy local hospitality as you explore Akureyri or take Myvatn trips.

5. Westfjords – Guesthouses here offer a secluded escape into Iceland’s wild beauty. Staying in the Westfjords ensures easy access to dramatic cliffs, rugged landscapes, and hidden beaches best explored with Westfjord tours in Iceland.

6. Snaefellsnes Peninsula – A guesthouse stay here puts you at the heart of the country’s diverse scenery and the best Snaefellsnes tours in Iceland. Enjoy easy access to volcanic peaks, scenic coastlines, and charming fishing villages.

No matter where you stay, a guesthouse in Iceland will add comfort, charm, and local flavor to your adventure.

Best Guesthouses in Reykjavik

1. Snorri's Guesthouse

• Location: Central Reykjavik, within walking distance of Hallgrimskirkja, Laugavegur shopping street, and major attractions.

• Things you'll love: Cozy rooms with private or shared bathrooms, free Wi-Fi, a beautiful enclosed garden, and a daily breakfast buffet. The guesthouse also offers easy access to Flybus stops and tour bookings for Iceland’s top attractions.

• Ideal for: Solo travelers, couples, and families looking for a comfortable stay in Reykjavik with great city access and a welcoming atmosphere.

2. Reykjavik Treasure B&B

• Location: Reykjavik’s old town, just a short walk from Laugavegur shopping street, Reykjavik harbor, and major attractions like the Reykjavik Art Museum and Althing Parliament.

• Things you'll love: Comfortable rooms with private bathrooms, free Wi-Fi, a delicious breakfast featuring freshly baked bread with local meats and fish, and a charming small garden for relaxation. Free on-site parking is also available.

• Ideal for: Travelers looking for a warm, welcoming stay in the heart of Reykjavík, with easy access to dining, shopping, and sightseeing.

3. Guesthouse Sunna

• Location: Downtown Reykjavik on Thorsgata Street, just steps from Hallgrimskirkja church, the Einar Jonsson Museum, and Laugavegur shopping street.

• Things you'll love: Charming rooms and spacious apartments, free Wi-Fi, a communal kitchen and lounge, and a daily breakfast buffet with fresh pastries, cereals, and hot beverages.

• Ideal for: Solo travelers, couples, and families looking for a comfortable and centrally located stay with great amenities in Reykjavik.

Best Guesthouses in South Iceland

1. Brekkugerdi Guesthouse

• Location: Nestled in the peaceful town of Laugaras, just a short drive from the Golden Circle's top attractions.

• Things you'll love: Cozy rooms with comfortable bedding, free Wi-Fi, a buffet breakfast, a charming garden, and a shared lounge. Easy access to scenic hiking trails, fishing spots, and stunning waterfalls.

• Ideal for: Travelers exploring the Golden Circle, nature lovers, and those seeking a quiet, eco-friendly stay with great amenities.

2. Loa's Nest

• Location: A peaceful retreat near Hella, just 37 miles (60 kilometers) from Reykjavik and within easy reach of the Golden Circle and South Coast attractions.

• Things you'll love: Homey rooms with private bathrooms, complimentary homemade waffles and coffee/tea, a communal kitchen, a game room, and a relaxing garden. Free Wi-Fi and parking add to the convenience.

• Ideal for: Nature lovers, road trippers, and travelers looking for a comfortable stay while exploring South Iceland’s breathtaking landscapes.

3. Solheimahjaleiga Guesthouse

• Location: A scenic family-run guesthouse on Iceland’s South Coast, near Solheimajokull glacier and within easy reach of Skogafoss waterfall and Reynisfjara black sand beach.

• Things you'll love: Stunning glacier and mountain views, rooms with options for private or shared bathrooms, a deluxe family room with a glacier-facing balcony, and a farm setting with friendly animals. Enjoy a hearty breakfast included in your stay and the option to have dinner on-site.

• Ideal for: Nature lovers, South Coast explorers, and travelers seeking a peaceful farm stay with breathtaking surroundings.

Best Guesthouses in North Iceland

1. Vogahraun Guesthouse

• Location: Nestled on the shores of Lake Myvatn and conveniently located near the Myvatn Nature Baths and within easy reach of the Diamond Circle attractions.

• Things you'll love: Cozy and budget-friendly rooms, a fully equipped communal kitchen, free Wi-Fi, and on-site parking. Enjoy a discount at the guesthouse’s delicious pizzeria and opt for a tasty breakfast to start your day.

• Ideal for: Nature lovers, hikers, birdwatchers, and travelers exploring North Iceland’s scenic wonders.

2. Vogafjos Farm Resort

• Location: Situated on the shores of Lake Myvatn, close to Dimmuborgir lava fields and the Myvatn Nature Baths. Within driving distance of Asbyrgi canyon and whale-watching tours in Husavik.

• Things you'll love: Cozy Icelandic-style rooms with private bathrooms and patios, free Wi-Fi, and complimentary parking. Enjoy delicious local cuisine at the on-site cafe, including lamb, trout, and traditional geothermal-baked rye bread.

• Ideal for: Nature lovers, food enthusiasts, and travelers seeking a peaceful retreat while exploring North Iceland’s stunning landscapes.

3. Lamb Inn

• Location: Located in the peaceful countryside near Akureyri, with easy access to top attractions like Myvatn and Husavik. Close to Akureyri’s lively cultural scene and the year-round Christmas Garden.

• Things you'll love: Welcoming rooms in a converted farm building with modern comforts, an outdoor hot tub, and an on-site restaurant serving local specialties like Icelandic lamb. Enjoy a farm experience with scenic hiking trails and a charming cafe overlooking the cowshed.

• Ideal for: Travelers seeking an authentic Icelandic stay, nature lovers, and those looking to experience rural charm with modern amenities.

Best Guesthouses in Southeast Iceland

1. Seljavellir Guesthouse

• Location: Just a 10-minute drive north of Hofn, perfectly positioned between Iceland’s South Coast and the Eastfjords, with breathtaking views of Vatnajokull glacier.

• Things you'll love: Modern and spacious rooms with en suite bathrooms, stunning glacier views, free Wi-Fi, and flatscreen TVs. Enjoy the on-site bar, complimentary breakfast, and easy access to hiking trails near the Highlands.

• Ideal for: Couples, families, and Ring Road travelers looking for a scenic and comfortable base to explore the glaciers, South Coast, and Eastfjords.

2. Guesthouse Skalafell

• Location: A peaceful farm stay situated between the South Coast and the Eastfjords, with stunning views of glaciers and mountains. The town of Hofn is around 26.7 miles (43 kilometers) away.

• Things you'll love: Cozy twin and double rooms with scenic views, free Wi-Fi, and the option of shared or private bathrooms. It features an on-site restaurant, bar, and terrace perfect for northern lights or the midnight sun. Spacious cottages with a kitchenette are also available.

• Ideal for: Families, Ring Road travelers, South Coast explorers, and those heading to the remote beauty of the Eastfjords.

3. Nypugardar Guesthouse

• Location: Nestled between Hofn and Jokulsarlon glacier lagoon, with easy access to Vatnajokull region’s natural wonders.

• Things you'll love: Experience life on an Icelandic sheep farm with cozy rooms, stunning views of glaciers and mountains, and a delicious local breakfast. A private cabin option for more privacy, hiking paths nearby, and the opportunity to meet the farm animals.

• Ideal for: Couples, families, and those wanting a unique farm stay while exploring Iceland’s southeastern gems like the Vatnajokull National Park.

Best Guesthouses in Westfjords

1. Fisherman Guesthouse Flateyri

• Location: A charming guesthouse in the picturesque village of Flateyri, located in Iceland's remote Westfjords. The town of Isafjordur is about 12.4 miles (20 kilometers) away.

• Things you'll love: Comfortable rooms with private bathrooms, free Wi-Fi, and scenic views of the sea or mountains. Enjoy a buffet breakfast and easy access to local museums, hiking trails, and hot pools. Self-check-in and on-site parking add convenience.

• Ideal for: Nature lovers, cultural explorers, and those seeking a peaceful and authentic Icelandic experience in the Westfjords.

2. Harbour Inn - Guesthouse

• Location: A family-owned guesthouse in Bildudalur, in the heart of the Westfjords. The Sea Monster Museum is just a 2-minute walk from the accommodation.

• Things you'll love: Bright rooms with mountain or fjord views, free Wi-Fi, and access to shared bathrooms. Enjoy the communal area for relaxation, an in-house bar for breakfast and drinks, and close proximity to local attractions like waterfalls and the Sea Monster Museum.

• Ideal for: Travelers seeking a peaceful and scenic base to explore the Westfjords, nature enthusiasts, and those interested in local history and culture.

3. Malarhorn Guesthouse

• Location: A peaceful stay in Drangsnes on the remote Strandir Coast in the Westfjords, known for its hiking trails and wildlife.

• Things you'll love: Cozy rooms with private or shared facilities, free Wi-Fi, and a self-catering cottage. An on-site restaurant, a terrace with stunning views, and free parking add to the experience. In summer, you can visit Grimsey island, which is about a 10-minute ferry ride away.

• Ideal for: Adventurers seeking a quiet escape in Iceland's Westfjords, nature lovers, and those wanting to explore local culture, wildlife, and the northern lights.

Best Guesthouses in Snaefellsnes

1. Hellnafell Guesthouse

• Location: Located in Grundarfjordur with breathtaking views of Kirkjufell mountain and close to attractions like Kirkjufellsfoss and Grundarfoss waterfalls.

• Things you'll love: Cozy rooms with fantastic sea views, free Wi-Fi, and a shared kitchen for self-catering. The guesthouse offers private parking and 24-hour security for peace of mind.

• Ideal for: Travelers looking to explore the diverse beauty of the Snaefellsnes peninsula while enjoying a convenient and comfortable base.

2. Sjavarborg Guesthouse

• Location: Situated in Stykkisholmur, the largest town on the Snaefellsnes peninsula, with stunning views of the North Atlantic Ocean and easy access to Stykkisholmur harbor and attractions like Kirkjufell mountain and Snaefellsjokull National Park.

• Things you'll love: Comfortable rooms, a shared kitchen for self-catering, a cafe on-site, and free Wi-Fi. Enjoy breathtaking sea and mountain views, free parking, and a welcoming atmosphere with helpful staff.

• Ideal for: Solo travelers, couples, and families looking to explore the natural wonders of the Snaefellsnes peninsula while staying in a charming and affordable guesthouse.

3. Lysuholl Guesthouse

• Location: Nestled on the south coast of the Snaefellsnes peninsula, surrounded by stunning natural landscapes, including Snaefellsjokull National Park. The nearest town, Olafsvik, is 18.3 miles (29.4 kilometers) away.

• Things you'll love: Comfortable twin rooms and bungalows with patios, free Wi-Fi, and breathtaking views. Enjoy horseback riding on a local horse farm, well-equipped kitchens in the bungalows, and a cozy bar and lounge for socializing.

• Ideal for: Families, friends, and horse lovers who want to explore the Snaefellsnes peninsula and enjoy outdoor adventures, including hiking, birdwatching, and horse riding.

Iceland Guesthouses Near the Golden Circle

1. Heradsskolinn Historic Guesthouse

• Location: Situated next to Lake Laugarvatn, close to major attractions like Thingvellir National Park, Gullfoss waterfall, and the Geysir area. It’s also near Laugarvatn Fontana geothermal wellness bath.

• Things you'll love: A charming, renovated historical school building with a variety of room options, including dorms and private rooms. Enjoy free Wi-Fi, a bar and restaurant, a library, and easy access to walking trails. 

• Ideal for: Budget-conscious travelers, history enthusiasts, and those looking to explore the Golden Circle with a convenient, comfortable base.

2. Lambastadir Guesthouse

• Location: Approximately 6.2 miles (10 kilometers) from Selfoss, near Iceland's South Coast, and a short drive from attractions like Seljalandsfoss waterfall and Reynisfjara black sand beach.

• Things you'll love: The charm of a family-run farm with cozy rooms, private bathrooms, and a relaxing geothermal hot tub. Enjoy a delicious breakfast each morning, free Wi-Fi, and free parking. In winter, witness the northern lights from the comfort of your stay.

• Ideal for: Travelers seeking a peaceful, authentic Icelandic country experience, with easy access to iconic South Coast sights.

3. Sel Guesthouse

• Location: Located in the peaceful town of Skalholt, close to Iceland's Golden Circle attractions. It's also near Lake Apavatn, offering a serene setting perfect for relaxation and outdoor activities.

• Things you'll love: Cozy rooms on a converted farm, a sun terrace with stunning views, and free Wi-Fi. Relax in spacious rooms with tea/coffee facilities and en-suite bathrooms. Savor a delicious continental breakfast made from fresh, local ingredients.

• Ideal for: Solo travelers, couples, and families looking to explore the Golden Circle or chase the northern lights, with plenty of outdoor activities nearby.

Staying On the Ring Road: Best Guesthouses for Road Trippers

1. Lilja Guesthouse

• Location: Situated along Ring Road 1, around 17.3 miles (28 kilometers) from the town of Hofn in Southeast Iceland and just 12.4 miles (20 kilometers) from the majestic Vatnajokull Glacier.

• Things you'll love: Cozy rooms with private bathrooms, blackout curtains, and some with glacier or mountain views. Free Wi-Fi, coffee in rooms, and delicious meals at the on-site restaurant and bar. It’s a perfect base for glacier tours, hiking, and exploring stunning natural landscapes.

• Ideal for: Nature lovers, adventure seekers, and travelers seeking a comfortable stay with easy access to South East Iceland’s glaciers, national parks, and unique attractions.

2. Hunkubakkar Guesthouse

• Location: Situated just 5 minutes from Kirkjubaejarklaustur on Route 1, offering easy access to stunning South Coast attractions like Skogafoss waterfall and Jokulsarlon glacier lagoon.

• Things you'll love: Comfortable cabins with twin and triple rooms, some with private bathrooms, free Wi-Fi, and an on-site restaurant. It is a perfect base for hiking and exploring the South Coast and the surrounding nature.

• Ideal for: Couples, families, and groups exploring the South Coast or embarking on a Ring Road adventure and looking for a peaceful and scenic retreat.

3. Bitra Guesthouse

• Location: Located about 15 minutes east of Selfoss in South Iceland, with easy access to both the Golden Circle and South Coast attractions.

• Things you'll love: Bright and homey rooms with scenic views of Mount Hekla, a delicious breakfast spread each morning, and free Wi-Fi. Enjoy the terrace for northern lights viewing in winter and the midnight sun in summer.

• Ideal for: Travelers exploring the Golden Circle and South Coast or encircling the island, seeking modern comfort with convenient access to Iceland’s natural wonders.

How to Book the Best Guesthouse in Iceland: Tips and Recommendations

Finding the right guesthouse in Iceland is all about planning ahead and knowing what to look for. Here are some key tips to help you book the perfect stay:

• Book early – Iceland guesthouses fill up fast, especially in summer and during the northern lights season. Secure your stay in advance for the best options.

• Pick the right location – Staying in Reykjavik? Choose a guesthouse near attractions and dining. Exploring nature? Look for a guesthouse in Iceland’s countryside near waterfalls, glaciers, or hot springs.

• Check amenities – Some guesthouses in Iceland have private bathrooms, while others offer shared facilities. Look for extras like free breakfast, a kitchen, or hot tubs for a more comfortable stay.

• Read reviews – Guest reviews give real insight into cleanliness, comfort, and host hospitality. Look for consistent positive feedback before booking.

• Consider transportation – If renting a car in Iceland, check for parking options. Staying in a remote area? Make sure your guesthouse is accessible year-round.

• Look for local charm – Many guesthouses in Iceland are family-run, creating a warm and welcoming atmosphere with a chance to learn about local traditions and enjoy home-cooked meals.

• Compare prices – Guesthouses in Iceland are often budget-friendly, but prices vary by season and location. Compare rates and check for discounts on longer stays.

A little planning makes all the difference in finding a cozy, welcoming place to stay while exploring Iceland!

When To Visit Iceland: Seasonal Stays and What To Expect

Choosing the right guesthouse in Iceland depends on what kind of adventure you’re looking for.

Spring brings blooming landscapes, fewer crowds, and a great chance to see waterfalls at their most powerful. Summer is perfect for road trips, hiking, and long evenings spent soaking in hot springs.

In autumn, the colors change, the air turns crisp, and it’s prime time for northern lights spotting. Winter transforms the country into a snowy wonderland with glacier tours, ice caves, and festive holiday vibes.

No matter when you visit, staying in Iceland guesthouses gives you a cozy and personal experience. A countryside stay puts you closer to nature and hidden gems, while guesthouses in Iceland's towns and cities keep you near top attractions and dining spots.

Discover the Comfort of Iceland Guesthouses Today!

Ready for an unforgettable stay? Iceland guesthouses offer the perfect blend of comfort, convenience, and cozy charm. Whether you're exploring the Golden Circle or soaking in the serene landscapes, a guesthouse in Iceland is your ideal home base. 

Book now to enjoy an authentic Icelandic experience where warmth and hospitality await around every corner!