The 10 best Resorts in Iceland, Iceland

April 29, 2023 Natalie Tallman

Icecaps and glaciers, spouting geysers and steaming solfataras, volcanoes, raging rivers and magnificent waterfalls, a bevy of birds, cavorting whales offshore and much more are on your Iceland itinerary. Among lively Reykjavik's multitude of attractions are Hallgrimur's Church, a bevy of geothermal baths and sizzling hot nightlife. The Icelandic capital is the starting point for the Golden Circle Route driving tour through the southwest. The mineral-rich Blue Lagoon is a 40-minute drive from the city.
Things to do in Iceland

1. Skuggi Hotel by Keahotels

Hverfisgata 103, Reykjavik 101 Iceland
Excellent
67%
Good
28%
Satisfactory
4%
Poor
1%
Terrible
0%
Overall Ratings

4.5 based on 2554 reviews

Skuggi Hotel by Keahotels

Skuggi Hotel is a design hotel managed by Keahotels. The hotel features modern rooms and great location in centre of Reykjavík. The main ideology of the design is to convey nature to urban area. Timeless, modest and clear-cut design reflects the style of Skuggi Hotel. The hotel offers 100 room and a stylish lounge and bar.

Nice Stay

Reviewed By hannenb2016

Stayed here in May. Nice hotel, the staff are really nice and helpful. The breakfast was very good. Good location as bus stop 9 for tours 30 seconds away and 20 min walk into the center. The only negatives were there not being any storage for clothes such as a wardrobe in our room and there was a strange intermittent mechanical noise in the bathroom, but only happened during the day so didn't bother us really! Would stay again.

2. Grand Hotel Reykjavik

Sigtuni 28, Reykjavik 105 Iceland
Excellent
37%
Good
42%
Satisfactory
15%
Poor
4%
Terrible
2%
Overall Ratings

4 based on 2509 reviews

Grand Hotel Reykjavik

Grand Hotel Reykjavik is a first-class, four star hotel for business travelers, conference guests and tourists who demand excellent service and facilities. Grand Hotel Reykjavik is now the largest hotel in Iceland with a total of 311 rooms and 15 meeting and conference halls, seating anywhere from 6 to 470 people. Grand Hotel Reykjavik is a member of Top International. The hotel is situated in a quiet area within a short distance from all services, recreation and business centers.

sweet spot in the heart of Reykjavik

Reviewed By Brigitte E

We only stayed for one night on our way out of Iceland but, next time, I'd like to stay here longer! The hotel is really beautiful and well run. The only disappointment was that the spa closes early on Sunday, when we checked in. Since the check in was at 3pm and the spa closes at 3, we didn't get to experience the much needed amenities. We went to Sky Lagoon instead and had an amazing experience!

3. Icelandair Hotel Reykjavik Marina

Myrargata 2, Reykjavik 101 Iceland
Excellent
48%
Good
37%
Satisfactory
10%
Poor
3%
Terrible
2%
Overall Ratings

4.5 based on 2856 reviews

Icelandair Hotel Reykjavik Marina

Icelandair Hotel Reykjavik Marina, steps from downtown Reykjavik, is situated in a completely renovated four-story building that has become a landmark among local residents. It is located next to the historical, and still fully functioning, dry-dock called Slippur. With an emphasis on blending the dynamic, creative atmosphere of this rapidly developing district with the country's strong fishing traditions, the Icelandair Hotel Reykjavik Marina offers everyone the opportunity to see and experience the capital at its most creative and colorful.

Great location

Reviewed By damurphy127

After a bit of hoopla with our booking we ended up at the Iceland Hotel Marina. Our views were very nice of both the marina and city. Within walking distance to many tourist destinations. This hotel was very clean.

4. Fosshotel Baron

Barónstígur 2-4, Reykjavik 101 Iceland
Excellent
26%
Good
47%
Satisfactory
20%
Poor
5%
Terrible
2%
Overall Ratings

4 based on 2359 reviews

Fosshotel Baron

Fosshotel Baron with its 120 rooms and apartments is an official year-round 3-star hotel in downtown Reykjavik. We are located only a few steps away from the main shopping street Laugavegur and the main attractions in Reykjavik's city center. All of our rooms and apartments have a bathroom with a shower, TV and there is free Wi-Fi in all areas of the hotel. Fosshotel Baron is a family friendly hotel and offers special features for families and children. Our reception is manned at all hours for the convenience of our guests. All rooms and areas of the hotel are non-smoking.

Great hotel

Reviewed By FionaB1570

We booked a quadruple room and were given a room with 1 double (2 singles together) and 3 other single beds. We had a very early flight and arrived at the hotel at 10am to leave our bags in the secure storage area, we were amazed to be told that our room had already been cleaned and was ready for us! The hotel was very well located, we were able to walk to the harbour for boat trips with our two boys aged 8 and 5 and to the Perlan, although we did get local buses back when their little legs got tired. A central bus area was close by, along with a supermarket behind the hotel and many restaurants to choose from. The breakfast had a really good selection to choose from with something for everyone. All the staff were very friendly and helpful. They called one of our trip providers for us when they were late to collect us and they were able to give advice on buses and places for food. We had an incident where our youngest son was sick in the middle of the night (we suspect from eating too much rich food in a restaurant before bed) and we had to go to reception embarrassed and ask for a bin bag and cleaning products. The staff on the desk and the cleaners we met were incredibly good and assisted us, the cleaners in particular said they understood and had young children too. This was a great hotel for us and our children.

5. Hilton Reykjavik Nordica

Sudurlandsbraut 2, Reykjavik 108 Iceland
Excellent
48%
Good
39%
Satisfactory
10%
Poor
2%
Terrible
2%
Overall Ratings

4.5 based on 4705 reviews

Hilton Reykjavik Nordica

Looking for a place to stay in Reykjavik? Then look no further than Hilton Reykjavik Nordica, a family-friendly hotel that brings the best of Reykjavik to your doorstep. The rooms offer a flat screen TV and a refrigerator, and getting online is possible, as free wifi is available, allowing you to rest and refresh with ease. Hilton Reykjavik features a 24 hour front desk, a concierge, and room service. In addition, as a valued Hilton Reykjavik Nordica guest, you can enjoy a hot tub and breakfast that are available on-site. Guests arriving by vehicle have access to free parking. Close to some of Reykjavik's most popular landmarks, such as Solfar (Sun Voyager) Sculpture (0.7 mi) and Laugavegur (1.2 mi), Reykjavík Hilton is a great destination for tourists. While in Reykjavik, you may want to check out some of the restaurants that are a short walk away from Hilton Reykjavik, including Cafe Loki (1.2 mi), Old Iceland Restaurant (1.0 mi), and Sandholt Reykjavik (1.2 mi). If you are interested in exploring Reykjavik, check out one of the historic sites, such as Videy Island, The Settlement Exhibition, and Einar Jonsson Museum (Listasafn Einars Jonssonar). We’re sure you’ll enjoy your stay at Hilton Reykjavik Nordica as you experience everything Reykjavik has to offer.

Nice hotel, but Hilton should be better and better value alternatives are available in Reykjavik

Reviewed By Agonda

The hotel is nice. The staff are friendly The breakfast buffet is great and the food in the bar is decent. I´m not going to avoid the hotel per se. But overall the hotel does not live up to the Hilton standard and you can (easily) find alternatives with better value for money.

6. Hotel Cabin

Borgartun 32, Reykjavik 105 Iceland
Excellent
15%
Good
37%
Satisfactory
32%
Poor
10%
Terrible
6%
Overall Ratings

3.5 based on 2809 reviews

Hotel Cabin

Hotel Cabin is a budget hotel located in Reykjavik. Our main policy has always been, to offer travellers visiting Reykjavík comfortable and economic accommodation right in the heart of the city. The standard rooms are the cheapest accommodation we have to offer and as the name implies they are very basic but comfortable. The superior rooms are bigger and come with a bathtub with a shower and refrigerator. The Superior rooms with a view are all on the hotel´s 7th floor and offer a magnificent view of the city or the ocean. They come with free wireless internet, a refrigerator, a tea- and coffee maker and a hairdryer. The hotel is excellently located within a walking distance from the city centre as well as the Laugardalur area.

Basic no frills hotel

Reviewed By JodieKT

This is a basic hotel. The rooms were clean, but very small. Breakfast was pretty standard and unimaginative. It's a bit of a walk to the town centre. Thought I'd be fine staying in their cheaper rooms which had no windows to the outside, but the room was very warm and lacked fresh air. Felt a bit like I was sleeping in the broom cupboard.

7. Hotel Budir

Snaefellbær Snæfellbær, Budir 356 Iceland
Excellent
58%
Good
26%
Satisfactory
9%
Poor
5%
Terrible
2%
Overall Ratings

4.5 based on 1065 reviews

Hotel Budir

Hotel Budir is undoubtedly one of the most beautiful countryside hotels in Iceland, just a short drive from Iceland's capital city, Reykjavik. The hotel sits in a lava field on the westernmost tip of the Snaefellsnes peninsula, in the western region of Iceland. Due to the hotel's location, guests have an impressive view of the breathtaking Snaefellsjokull glacier and the Budir-estuary which meanders into the vast Faxafloi-Bay where a number of seals reside.Over the winter time its cozy sitting by the fireplace having hot chocolate and enjoying the amazing northern lights Aurora borealis just outside the hotel. Hotel Budir's restaurant, arguably one of the most romantic restaurants in Iceland, has been referred to as "The Mecca of Icelandic cooking", due to its unique and delightful cuisine. The restaurant's menu is seasonal and takes advantage of fresh local produce like seafood and fish from neighbouring villages such as Stykkisholmur, Olafsvik and Borgarnes.The hotel also organises and hosts a number of weddings, all of which are unique and tailor made with the wedding couple or their representatives. Many of the weddings ceremonies are conducted in the little church close to Hotel Budir or in the hotel reception; it is even possible to get married on the golden sand beach close to the hotel.In addition, the hotel also offers facilities for meetings and small-to-medium sized conferences thus making it ideal for business-meetings or conferences with colleagues.Hotel Budir has it all, a world-class service, fine food and drink and luxurious rooms, making it ideal for get-togethers with friends and family, or a romantic weekend with a loved one - all of which can be enjoyed in an indescribably beautiful environment.

Not a great meal the first night .

Reviewed By 7777markw

If we hadn’t stayed a second night this review would have been poor . Let’s start with the good things , the view from room 22 is truly stunning and probably the best thing about the hotel . The hotel itself is traditional and currently undergoing extension works . Food on the first evening was really poor . The Arctic char starter was tiny and my main course of tenderloin was tasteless . My wife had the lamb which was 50% fat and had hardly any garnish . What a change the second night , we both had cod which came with a generous serving of carrots and the Caramel desert was larger than any course we had had the night before . We can only think Monday was the chefs night off , the two meals were chalk and cheese .

8. Fosshotel Stykkisholmur

Borgarbraut 8, Stykkisholmur 340 Iceland
Excellent
17%
Good
39%
Satisfactory
33%
Poor
8%
Terrible
2%
Overall Ratings

3.5 based on 522 reviews

Fosshotel Stykkisholmur

Fosshotel Stykkisholmur is a recently renovated 3-star hotel in a lovely little fishing village of Stykkishólmur, sometimes called the town of thousand islands. This beautiful town's atmosphere is set by old houses that make you feel like a time traveller. Stykkishólmur is the center for service, trade, and transport for the whole Breidafjordur area. The hotel restaurant has a warm atmosphere, a modern bar and a superb conference room that welcomes up to 300 guests.

Great Base for Snaefellsnes Peninsula

Reviewed By ScottS_MN

I arrived in late May for a 3 night stay. They met my request for a quiet room with an upgrade to move me away from tour groups. Rafaela at the front desk was amazing! She's friendly and efficient handling check-in & guest concerns with a personal touch. Breakfast was $17 but my best option with eggs, sausage, bacon & pancakes plus an array of cold choices. My room was spacious, quiet, comfortable with a great view of the mountains & sea. I had a rain shower that was nice. They have an elevator. They have one of the only bars in town with a friendly Hungarian bar-keep. I don't usually stay Fosshotel but this was very nice

9. Volcano Hotel

Thjodvegur Ketilsstadaskoli, Vik 871 Iceland
Excellent
84%
Good
15%
Satisfactory
1%
Poor
0%
Terrible
0%
Overall Ratings

5 based on 606 reviews

Volcano Hotel

Volcano Hotel is a very nice country hotel in the area of Mýrdalur valley, by the southern most tip of Iceland. We have 7 spacious and beautiful rooms at the hotel, the rooms are decorated in Scandinavian style, with hardwood floors and light interiors. All our rooms have a private bathroom with a shower, shampoo, soaps, and a hairdryer. There is a nice lounge/dining room with a bar at Volcano Hotel and dinner is available for our guests, if it is booked in advance - latest the morning of your arrival. We take pride in offering a personal service and know the importance of meeting a local, so do chat with us and ask us about anything in Iceland - we're happy to help. We look forward to welcoming you!

Great place to stay

Reviewed By 239maritzap

Loved my stay at Volcano Hotel. Easy to find and near attractions. More importantly, the staff is amazing. They were very personable & accommodating not to mention the amazing room size. I would definitely stay here again. Thank you for a wonderful experience volcano hotel.

10. Geo Hotel Grindavik

Vikurbraut 58, Grindavik 240 Iceland
Excellent
53%
Good
35%
Satisfactory
9%
Poor
1%
Terrible
1%
Overall Ratings

4.5 based on 424 reviews

Geo Hotel Grindavik

Geo Hotel is a hotel in Grindavík village about 20 km from the Keflavik International Airport. The hotel opened on June 1st 2015. Within a 10 minute walk from the hotel you will find a supermarket, bank, outdoor thermal swimming pool, church, cafes, restaurants, gasoline stations, a busy fishing harbour and many other interesting things. A nice 18 hole golf course is also to be found in only 3 km distance from Grindavík. Geo hotel has 36 double and family rooms, all with private facilities. The hotel design offers good and spacious social area for our guests to relax in cozy surroundings. You can find maps and all major travel info to plan your stay at the hotel reception. We offer a complimentary transfers to and from the Blue Lagoon and these transfers can be scheduled in the hotel lobby on arrival. Please note that a reservation is required for the Blue Lagoon, therefore if you have not booked your ticket(s) already we strongly recommend that you make a reservation as soon as possible in order to make sure you get a ticket for the time you want. You can book online or we could do it for you if you tell us when you want to go.

Great service, lovely relaxed clean hotel.

Reviewed By 68carrier

Amazing customer service from the lovely Joanna. She was so kind and went the extra mile to help us above and beyond when we had a problem (not with the hotel). This level of service makes you feel at home and very relaxed. Thank you Joanna, and also Biggi ? . Hotel was clean with well equipped rooms and a fantastic shower. V comfortable beds too. Bonus that it is opposite the thermal swimming pool. 42 degrees in one hot tub there!

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