Can you book a 5-star budget hotels in Reykjavik?

Unfortunately, there are no 5-star budget hotels in Reykjavik. But check out 3 ( Exeter Hotel /night) or £106 ( Canopy by Hilton Reykjavik City Centre /night), which are both 4-star budget hotels.

How many budget hotels are there in total in Reykjavik?

There are 255 Reykjavik budget hotels available out of a total 904 hotels that you can book on HotelsCombined.

Which are the most popular Reykjavik budget hotels?

HotelsCombined users’ favourite budget hotels in Reykjavik are Igdlo Guesthouse , Guesthouse Aurora , and Hotel Island . With a rating of 9.2/10, Hotel Island is the highest-rated hotel.

Budget Hotels in Reykjavik: Find Hotels from £72

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Hotel Local 101

Ranargata 4a, Reykjavik, Iceland

Boasting free Wi-Fi, Hotel Local 101 is located in Reykjavik and offers unique accommodation. It is ideally positioned for guests wishing to visit local attractions.

Free Wi-Fi

Airport shuttle

9.0

Excellent

2805 reviews

Location

0.2 mi from city centre

£72

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Storm Hotel by Keahotels

Thorunnartun 4, Reykjavik, Iceland

Storm Hotel by Keahotels offers 3-star accommodation in Reykjavik, just minutes from Reykjavik Domestic. It also provides free Wi-Fi, a concierge and a ticket service.

Free Wi-Fi

8.7

Excellent

2127 reviews

Location

0.9 mi from city centre

£103

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Reykjavik Consulate Hotel, Curio Collection by Hilton

Hafnarstraeti 17-19, Reykjavik, Iceland

Situated in Miðborg, Reykjavik Consulate Hotel, Curio Collection by Hilton boasts stylish accommodation with superior facilities. It is conveniently located for those wishing to discover the area's attractions.

Free Wi-Fi

9.1

Excellent

550 reviews

Location

0.1 mi from city centre

£186

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Hotel Island

Armuli 9, Reykjavik, Iceland

Situated in Reykjavik, Hotel Island is an easy drive from Landakoskirkja and Hafnarfjordur Free Church. Just minutes from Reykjavik Domestic, it offers comfortable stay in a convenient location.

Free Wi-Fi

Parking

8.2

Excellent

2155 reviews

Location

1.8 mi from city centre

£85

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Reykjavik Marina - Berjaya Iceland Hotels

Myrargata 2, Reykjavik, Iceland

Conveniently located minutes from Reykjavik Domestic, the hotel provides beachfront accommodation in Reykjavik. It also features free Wi-Fi and a fitness centre.

Free Wi-Fi

8.6

Excellent

3750 reviews

Location

0.3 mi from city centre

£106

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Alda Hotel Reykjavik

Laugavegur 66-68, Reykjavik, Iceland

Situated in Reykjavik, the hotel has direct access to Reykjavik Domestic and features free Wi-Fi. It provides a day spa, as well as a beauty centre and a sauna.

Free Wi-Fi

Airport shuttle

8.8

Excellent

1729 reviews

Location

0.6 mi from city centre

£130

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Thingholt by Center Hotels

Thingholtsstraeti 3-5, Reykjavik, Iceland

Ideally situated in Reykjavik, Thingholt by Center Hotels provides unique accommodation an easy drive from Laugardalsholl and Reykjavik Mosque. Just moments from Reykjavik Domestic, it offers a hip overnight stay in a convenient location.

8.4

Excellent

1771 reviews

Location

0.2 mi from city centre

£111

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Hotel Laxnes

Haholt 7, Reykjavik, Iceland

Hotel Laxnes treats guests to a hot spring, free Wi-Fi and a bicycle rental. Close to shops and restaurants, the hotel is a convenient base while visiting Mosfellsbaer.

Free Wi-Fi

Parking

8.2

Excellent

1352 reviews

Location

7.5 mi from city centre

£83

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Hotel Orkin

Brautarholti 29, Reykjavik, Iceland

Ideally located in Reykjavik, Hotel Orkin offers hip accommodation an easy drive from Radhus Reykjavíkur, Reykjavik Open Air Museum and Landakoskirkja. Just minutes from Reykjavik Domestic, it offers guests a sophisticated stay in a convenient location.

Free Wi-Fi

Parking

Airport shuttle

8.1

Excellent

3257 reviews

Location

1.3 mi from city centre

£116

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Hotel Lotus

Álftamýri 7, Reykjavik, Iceland

Conveniently located with direct access to Reykjavik Domestic, Hotel Lotus provides hip 3-star accommodation with free Wi-Fi. This sophisticated hotel is situated in Háaleiti og Bústaðir.

Free Wi-Fi

Parking

9.1

Excellent

1449 reviews

Location

1.6 mi from city centre

£115

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All 255 hotels in Reykjavik

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The Latest Deals for Budget hotels in Reykjavik

Discover well-known properties in Reykjavik that are favoured by visitors more than others. There are 255 hotels in Reykjavik and price data was last updated on 15 April 2026. The average price for a hotel in Reykjavik is .

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HotelsCombined’s insights for budget hotels in Reykjavik

What day of the week has the lowest rates for Reykjavik budget hotels?

Budget hotels in Reykjavik are most affordable on Tuesdays, with average nightly rates around £86. Sundays are usually the most expensive, averaging £224 per night.

How much is a budget hotel in Reykjavik tonight?

Users have found prices for budget hotels in Reykjavik tonight starting as low as £78, rising to an average cost of £158, based on searches in the last 72 hours. Prices start from £99 for a 4-star budget hotel in Reykjavik for tonight.

How much is a Reykjavik budget hotel room this weekend?

What’s the recommended booking timeframe for Reykjavik budget hotels?

For the best rates, it's recommended to book your Reykjavik budget hotel at least 1 day before your stay.

Top-rated Budget hotels in Reykjavik

Browse through properties in Reykjavik that have received the highest ratings from guests. There are currently 255 properties in Reykjavik and data was last updated on 15 April 2026.

These Reykjavik properties are among the highest rated by our users. Be sure to read user reviews to learn why these hotels are among the highest rated.

Other accommodations in Reykjavik

Discover the ideal theme hotel, holiday rental or hostel for your stay in Reykjavik. There are 904 properties in Reykjavik and price data was last updated on 15 April 2026.

Explore Reykjavik

Explore different neighbourhoods and areas within Reykjavik to find the perfect location for your stay. Map data was last updated on 15 April 2026.

Scroll to and zoom in on the areas in Reykjavik you plan on visiting to find nearby properties. Clicking a property's name will unlock more information and allow you to book that particular hotel.

Reykjavik Budget hotels - FAQs

Find useful tips and insights about staying in Reykjavik to help you make the most of your experience. FAQs were last updated on 15 April 2026.

Can you book a 5-star budget hotels in Reykjavik?

How many budget hotels are there in total in Reykjavik?

Which are the most popular Reykjavik budget hotels?

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