A coastal town with colorful buildings, a large body of water, and snow-capped mountains in the background.

Budget Hotels in Reykjavik, Capital Region

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Our top choices for Reykjavik cheap hotels

A cozy reading area with a bookshelf, chairs, and a coffee machine.

1. Kvosin Downtown Hotel

Kvosin Downtown Hotel
4.0 star property
Downtown Reykjavik
9.8 out of 10, Exceptional, (1,005 reviews)
"Clean, friendly and conveniently located for a family holiday."
United Kingdom
Mark
The price is P9,300
P10,734 total
includes taxes & fees
Nov 15 - Nov 16
Kvosin Downtown Hotel
A modern hotel reception desk with a wooden finish and a black leather seating area.

2. Black Pearl Luxury Apartments

Black Pearl Luxury Apartments
4.5 star property
Downtown Reykjavik
9.8 out of 10, Exceptional, (787 reviews)
"Brilliant location, excellent clean apartment, all amenities present, can’t get any better than this!"
United Kingdom
sudeshna
The price is P16,960
P19,236 total
includes taxes & fees
Dec 7 - Dec 8
Black Pearl Luxury Apartments
A bedroom with a large bed, wooden walls, two windows, a hanging rack, and a bedside table with a magazine and a cup.

3. Old Charm Reykjavik Apartments

Old Charm Reykjavik Apartments
3.0 star property
Downtown Reykjavik
9.8 out of 10, Exceptional, (147 reviews)
"The location was great and we appreciated the onsite parking. Cute apartment and very clean. The beds and pillows were excellent. "
United States
Jennifer
The price is P13,569
P15,473 total
includes taxes & fees
Nov 25 - Nov 26
Old Charm Reykjavik Apartments
A restaurant with indoor seating, hanging wicker lamps, and a view of the city through large windows.

4. Hotel Reykjavik Saga

Hotel Reykjavik Saga
4.0 star property
Downtown Reykjavik
9.6 out of 10, Exceptional, (832 reviews)
"Great location."
Canada
Sukhwant
The price is P13,827
P15,759 total
includes taxes & fees
Nov 22 - Nov 23
Hotel Reykjavik Saga
A modern spa room with a hot tub, a hanging chair, and a seating area with a sofa and coffee table.

5. Reykjavik Konsulat Hotel, Curio Collection by Hilton

Reykjavik Konsulat Hotel, Curio Collection by Hilton
5.0 star property
Downtown Reykjavik
9.6 out of 10, Exceptional, (409 reviews)
"Fantastic location. Beautiful hotel. Friendly staff."
Canada
Laura Monica
The price is P16,087
P18,268 total
includes taxes & fees
Dec 8 - Dec 9
Reykjavik Konsulat Hotel, Curio Collection by Hilton
A kitchen with dark cabinets, a countertop with a basket of fruits, and a paper bag.

6. Reykjavik Residence Apartment Hotel

Reykjavik Residence Apartment Hotel
4.0 star property
Downtown Reykjavik
9.6 out of 10, Exceptional, (3,516 reviews)
"Great location and place for families to stay"
United States
Debra
The price is P11,546
P13,227 total
includes taxes & fees
Dec 10 - Dec 11
Reykjavik Residence Apartment Hotel
A modern bedroom with a bed, pillows, a wooden accent wall, and a small plant.

7. Reykjavik Treasure

Reykjavik Treasure
3.0 star property
Downtown Reykjavik
9.6 out of 10, Exceptional, (260 reviews)
"This location was absolutely perfect clean cozy wonderful breakfast in the morning and convenient to walk into the city would definitely stay again !"
United States
Deanna
The price is P12,556
P14,348 total
includes taxes & fees
Nov 24 - Nov 25
Reykjavik Treasure
Front of property - evening/night

8. Freyja Guesthouse & Suites

Freyja Guesthouse & Suites
2.5 star property
Downtown Reykjavik
9.6 out of 10, Exceptional, (424 reviews)
"We love our stay here. "
United States
Sunny
The price is P21,934
P24,758 total
includes taxes & fees
Nov 15 - Nov 16
Freyja Guesthouse & Suites
A buffet setup with various food items and a bottle of wine on a counter.

9. Hotel Local 101

Hotel Local 101
3.0 star property
Vesturbær
9.4 out of 10, Exceptional, (331 reviews)
"Great location, very lovely staff, cute bar/restaurant."
Canada
Heather
The price is P7,414
P8,640 total
includes taxes & fees
Dec 3 - Dec 4
Hotel Local 101
A modern library with bookshelves, a leather sofa, a wooden table, and comfortable seating.

10. Reykjavik Marina - Berjaya Iceland Hotels

Reykjavik Marina - Berjaya Iceland Hotels
4.0 star property
Vesturbær
9.4 out of 10, Exceptional, (1,006 reviews)
"Lovely hotel by the old harbour. Perfect for our week in Reykjavik with easy access to the golden circle and more"
United Kingdom
Daniel
The price is P7,848
P9,122 total
includes taxes & fees
Dec 13 - Dec 14
Reykjavik Marina - Berjaya Iceland Hotels
A modern hotel room with a bed, a desk, a flat-screen TV, and a hallway leading to a bathroom.

11. Sand Hotel by Keahotels

Sand Hotel by Keahotels
4.0 star property
Downtown Reykjavik
9.4 out of 10, Exceptional, (1,002 reviews)
"Excellent place to stay. Central and walking distance from many Reykjavik attractions. Clean and well appointed, friendly staff."
United States
Mark
The price is P12,901
P14,731 total
includes taxes & fees
Dec 13 - Dec 14
Sand Hotel by Keahotels
A modern building with a restaurant named "Canopy" at its ground level.

12. Canopy by Hilton Reykjavik City Centre

Canopy by Hilton Reykjavik City Centre
4.0 star property
Downtown Reykjavik
9.4 out of 10, Exceptional, (1,000 reviews)
"Great location, nice room, and a great breakfast!"
United States
Tina
The price is P15,257
P17,346 total
includes taxes & fees
Nov 25 - Nov 26
Canopy by Hilton Reykjavik City Centre
A modern indoor pool area with glass walls and warm lighting.

13. Grandi by Center Hotels

Grandi by Center Hotels
4.0 star property
Vesturbær
9.4 out of 10, Exceptional, (1,672 reviews)
"Lovely hotel in great location - good restaurant with many other good options nearby. Great coffee shop in foyer."
Australia
Gordon
The price is P14,631
P16,651 total
includes taxes & fees
Dec 1 - Dec 2
Grandi by Center Hotels
A hotel reception area with a green wall and a reception desk.

14. Hotel Reykjavik Centrum

Hotel Reykjavik Centrum
4.0 star property
Downtown Reykjavik
9.4 out of 10, Exceptional, (1,001 reviews)
"I liked the location, the breakfast, the comfort of the bed, and the shampoo and conditioner!"
United States
Jamie
The price is P10,870
P12,476 total
includes taxes & fees
Nov 23 - Nov 24
Hotel Reykjavik Centrum
A bar area with a modern design, featuring a long counter with bar stools, a variety of bottles, and a unique ceiling light fixture.

15. Iceland Parliament Hotel, Curio Collection By Hilton

Iceland Parliament Hotel, Curio Collection By Hilton
5.0 star property
Downtown Reykjavik
9.6 out of 10, Exceptional, (353 reviews)
"Great hotel with exceptionally nice staff and terrific spa facilities. Centrally located, very walkable, nice restaurant."
United States
Olivia
The price is P16,127
P18,311 total
includes taxes & fees
Nov 23 - Nov 24
Iceland Parliament Hotel, Curio Collection By Hilton
A modern building with a white facade, multiple windows, and a staircase leading to the entrance.

16. Castle House Luxury Apartments

Castle House Luxury Apartments
3.0 star property
Downtown Reykjavik
9.4 out of 10, Exceptional, (1,187 reviews)
"Very lovely room! the under floor heating was an amazing feeling after a long day of exploring. the location was amazing we were just a short walk from everything. the staff were lovely and the apartments has much more than what you would get at a hotel. Would happily stay again! Thank you!"
United Kingdom
Kathryn Elizabeth
Castle House Luxury Apartments
A bar area with multiple shelves of bottles and glasses, bar stools, and a bar counter.

17. ION City Hotel, a Member of Design Hotels

ION City Hotel, a Member of Design Hotels
4.0 star property
Downtown Reykjavik
9.4 out of 10, Exceptional, (301 reviews)
"Clean room Amazing staff Everything is close by"
United States
Youssef
The price is P16,543
P18,774 total
includes taxes & fees
Nov 25 - Nov 26
ION City Hotel, a Member of Design Hotels
A multi-story residential building with balconies, a flat roof, and a mountainous backdrop.

18. Reykjavik4you Apartments

Reykjavik4you Apartments
3.0 star property
Downtown Reykjavik
9.4 out of 10, Exceptional, (990 reviews)
"Great location. Had no issues parking on site. Super responsive staff. Would stay here again!"
United States
Katherine
The price is P8,496
P14,763 total
includes taxes & fees
Nov 24 - Nov 25
Reykjavik4you Apartments
A restaurant with tables set for dining, potted plants, and hanging plants.

19. Torg Apartments

Torg Apartments
3.5 star property
Downtown Reykjavik
9.4 out of 10, Exceptional, (353 reviews)
"Very centrally located, and the apartment was nice and bright."
United States
Susan
The price is P9,261
P10,691 total
includes taxes & fees
Dec 7 - Dec 8
Torg Apartments
A hot tub with wooden railings, surrounded by lanterns and a scenic mural.

20. Alda Hotel Reykjavik

Alda Hotel Reykjavik
4.0 star property
Downtown Reykjavik
9.4 out of 10, Exceptional, (1,426 reviews)
"Great stay."
United States
joanne
The price is P10,362
P11,913 total
includes taxes & fees
Nov 23 - Nov 24
Alda Hotel Reykjavik
Lowest nightly price found within the past 24 hours based on a 1 night stay for 2 adults. Prices and availability subject to change. Additional terms may apply.
View all properties

Top Reykjavik Hotel Reviews

Alda Hotel Reykjavik

Alda Hotel Reykjavik

10/10 Excellent
"Wonderful stay at the Alda Hotel. Excellent location to explore. Rooms were comfortable, clean and warm. Staff were polite, helpful and friendly. My only criticism is that the bar connected to the hotel closed at 10pm. We always enjoy a nightcap after a long day exploring and often found it closed which was a shame."
Emily 4-night trip
Posted 22 hours ago
Alda Hotel Reykjavik

Frequently asked questions

What is Reykjavik like for travelers on a budget?
Reykjavik offers cheap accommodation options and a variety of places to visit, making it a great choice for a budget-friendly getaway. In addition to its well-known attractions like Reykjavik Harbour, this destination is home to Reykjavik Pond and Oskjuhlid Hill, which you can enjoy while spending very little.
What's the best budget-friendly accommodation in Reykjavik?
Based on reviews, Old Town Reykjavik is a popular hotel for our travelers in search of a less expensive place to stay and offers free WiFi. Other options for your budget-friendly stay include KEX Hotel and Hostel Reykjavik and Hotel Von.
How many inexpensive hotels will I find in Reykjavik?
Expedia has 13 hotels in Reykjavik that are ideal if you are watching your pennies.
When is the best time for a budget trip to Reykjavik?
Weather is probably a major factor when you plan your trip to Reykjavik, and keep in mind that cheaper options are usually available when the weather isn't as good. The hottest months are usually July and August with an average temp of 50°F, while the coldest months are December and January with an average of 32°F. Average annual precipitation for Reykjavik is 50 inches.
What is there to see and do in Reykjavik?
Reykjavik attracts visitors with its top museums and abundant cafes, and offers plenty to see and do without spending a fortune. You can budget for the top local attractions that interest you most, such as Reykjavik Harbour, and then look for sights and activities that cost little or nothing at all. If you're looking to enjoy the area's natural beauty, you can get outdoors at Reykjavik Pond, Oskjuhlid Hill, or Nautholsvik Geothermal Beach.
How can I get to Reykjavik and get around on a budget?
Scoping out the transportation options in Reykjavik is a smart way to keep your trip affordable. The closest airport is 1.2 mi (2 km) away from the center in Reykjavik Domestic Airport (RKV). However, if that doesn't suit your budget, you can book a flight to Reykjavik–Keflavik Intl. Airport (KEF), located 23.2 mi (37.3 km) away. Reykjavik might not have very many public transportation choices so a car rental could be a reasonable alternative to see more of the area.