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

Find Reykjavik Budget Hotels from S$185

  • Change your mind

    Book hotels with free cancellation
  • Treat yourself

    Sign in to save 10% or more on thousands of hotels
    Sign in
  • Be picky

    Search almost a million properties worldwide

Check availability on Reykjavik Budget Hotels

Tonight
29 Aug - 30 Aug
Tomorrow
30 Aug - 31 Aug
Next weekend
4 Sept - 6 Sept
In two weeks
11 Sept - 13 Sept

Our top choices for Reykjavik cheap hotels

1. Hotel Fron

Hotel Fron
Downtown Reykjavik
United States
Kalpesh
S$221
includes taxes & fees
25 Sept - 26 Sept
Hotel Fron

2. Hotel Viking

Hotel Viking
Hafnarfjordur
United States
Nimantha
S$206
includes taxes & fees
1 Sept - 2 Sept
Hotel Viking

3. CityHub Reykjavik

CityHub Reykjavik
Downtown Reykjavik
United States
Dan Donna
S$191
includes taxes & fees
1 Sept - 2 Sept
CityHub Reykjavik

4. 201 Hotel

201 Hotel
Kópavogur
United States
PARAG J
S$211
includes taxes & fees
15 Sept - 16 Sept
201 Hotel

5. Aska Hraun

Aska Hraun
Hafnarfjörður
United States
Guiyong
S$205
includes taxes & fees
9 Sept - 10 Sept
Aska Hraun

6. Fisherman's Village

Fisherman's Village
Garðabær
United States
Michael
S$214
includes taxes & fees
31 Aug - 1 Sept
Fisherman's Village

7. Reykjavik Lights by Keahotels

Reykjavik Lights by Keahotels
Háaleiti
United States
Patricia
S$322
includes taxes & fees
21 Sept - 22 Sept
Reykjavik Lights by Keahotels

8. Alva Hotel Brautarholt

Alva Hotel Brautarholt
Holt
United States
Sharon
S$238
includes taxes & fees
15 Sept - 16 Sept
Alva Hotel Brautarholt

9. Hotel Cabin

Hotel Cabin
Laugardalur
Canada
Eric
S$185
includes taxes & fees
16 Sept - 17 Sept
Hotel Cabin

10. Hotel Ísland - Spa & Wellness Hotel

Hotel Ísland - Spa & Wellness Hotel
Háaleiti
United States
Joshua
S$290
includes taxes & fees
1 Sept - 2 Sept
Hotel Ísland - Spa & Wellness Hotel
View all properties

Find out more about Reykjavik

Discover cheap things to do in Reykjavik

Reykjavik offers a wealth of experiences for budget-conscious travellers looking to explore without breaking the bank. Start your adventure at the iconic Hallgrímskirkja, where a modest fee grants you access to the tower's viewing platform, offering breathtaking panoramic views of the city and surrounding landscapes. A stroll through the vibrant Laugavegur shopping street not only delights with its unique boutiques but also provides a chance to sample affordable street food; try the famous hot dogs from Bæjarins Beztu Pylsur, a local favourite. Don't miss the beautiful Tjörnin pond, where you can enjoy a peaceful walk and watch the local birdlife, all completely free. For a bit of culture, the National Museum of Iceland has an entrance fee that's easy on the wallet, showcasing the country's fascinating history. When it comes to accommodation, consider staying in the trendy downtown area, where numerous budget hotels and hostels are just a stone's throw from these attractions, making it convenient to explore on foot. This area is filled with charming cafes and restaurants, perfect for sampling local delicacies at reasonable prices, ensuring your family enjoys the best of Reykjavik without overspending.

Find the best cheap hotels in Reykjavik

For budget-conscious travellers heading to Reykjavik, these top five hotels offer outstanding value without compromising comfort or convenience.Guesthouse Sunna

  • Why it's great for a budget-friendly vacation: Guesthouse Sunna offers budget travellers a delightful stay with a stellar review rating of 9.2. This guesthouse features free Wi-Fi and self-parking, making it easy for guests to stay connected and explore the surroundings without worry. Additionally, the accommodation provides shared kitchen facilities, allowing for affordable meal preparations.
  • Other amenities: Further amenities include a daily housekeeping service, a variety of kitchen appliances such as a microwave and stovetop, and communal dining areas. The hotel also offers rollaway extra beds at no charge, making it a flexible choice for groups or families. With its central location, guests will find themselves perfectly situated to enjoy the attractions of downtown Reykjavik.
  • Neighborhood: Downtown Reykjavik
  • Nearby attractions: Laugavegur - 0.5 km, Hallgrimskirkja - 0.1 km, Reykjavik Free Church - 0.7 km

Rey Apartments

  • Why it's great for a budget-friendly vacation: Rey Apartments is a superb choice for budget travellers with a traveler review rating of 9.2, providing essential amenities at an affordable price. The hotel offers free Wi-Fi and a 24-hour airport shuttle, making it convenient for both arrivals and departures.
  • Other amenities: Guests can enjoy well-equipped rooms featuring kitchenettes, ovens, and refrigerators, perfect for those who prefer self-catering. Additional conveniences include a concierge service and the option for free street parking. Nearby locations provide opportunities for hiking and biking, ensuring travelers can explore the natural beauty of Iceland.
  • Neighborhood: Downtown Reykjavik
  • Nearby attractions: Laugavegur - 0 km, Hallgrimskirkja - 0.5 km, Reykjavik Free Church - 0.6 km

Storm Hotel by Keahotels

  • Why it's great for a budget-friendly vacation: Storm Hotel by Keahotels is a budget-friendly gem that scores a remarkable 9.2 in guest reviews. Perfectly suited for cost-conscious travellers, the hotel offers free Wi-Fi and a delicious buffet breakfast to kickstart the day. With additional amenities such as free toiletries and a snack bar, guests will find everything they need for a comfortable stay.
  • Other amenities: This hotel also features options for connecting rooms, a balcony or patio for enjoying fresh air, and parking facilities for added convenience. The concierge service ensures that guests receive personalised support during their visit, and family amenities like free cribs make it a great choice for those travelling with little ones.
  • Neighborhood: Laugardalur
  • Nearby attractions: Laugavegur - 0.1 km, Harpa - 1.4 km, Hallgrimskirkja - 1.5 km

Top Reykjavik Hotel Reviews

Hotel Reykjavík Grand

Hotel Reykjavík Grand

8/10 Good
"This hotel has a decent sized bathroom and a comfortable bed with two pillows per person. The hotel breakfast was very good with a large variety. There is no A/C in the rooms and the rooms are pretty stuffy/warm. A window opens but it takes well into the night to cool off the room. We slept with no covers (late Aug 2026) until 1 or 2am. The TV channels are horrible, there's only about a dozen channels and all of them are completely uninteresting. The TVs are not smart so there's no logging into any TV apps through the TV. However thumbs up for a place to crash and walking distance to downtown."
Christin 1-night trip
Posted 7 hours ago
Hotel Reykjavík Grand
Fosshotel Reykjavik

Fosshotel Reykjavik

8/10 Good
"Room was clean, and the included breakfast buffet was pretty nice, though crowded. Staff were helpful. Gym was small for such a large property. Location was good for public bus transportation and walking."
Tina 11-night trip
Posted 13 hours ago
Fosshotel Reykjavik
Alda Hotel Reykjavik

Alda Hotel Reykjavik

8/10 Good
"Personnel attentif et endroit bien situé!"
Isabelle 4-night trip
Posted 3 days ago
Alda Hotel Reykjavik
Miðgarður by Center Hotels

Miðgarður by Center Hotels

8/10 Good
"Overall, it is good hotel, location is very convenient to everywhere, well maintained. Only negative is the room floor plan not optimized, especially the bath room design"
Xiaohua 2-night trip
Posted 3 days ago
Miðgarður by Center Hotels
Alva Hotel Brautarholt

Alva Hotel Brautarholt

10/10 Excellent
"Hooo"
William 1-night trip
Posted 6 days ago
Alva Hotel Brautarholt

Frequently asked questions

What is Reykjavik like for travellers on a budget?
Reykjavik offers cheap accommodation options and a range of things to see and do, making it a great holiday choice for budget-conscious travellers. In addition to its well-known attractions such as Reykjavik Harbour, this destination is home to Reykjavik Pond and Oskjuhlid Hill, which you can enjoy while spending very little.
What's the best place to stay on a budget in Reykjavik?
Based on reviews, Old Town Reykjavik is a popular hotel for our travellers in search of a less expensive place to stay, and it offers free Wi-Fi. Other good options for your budget-friendly stay include Hotel Von and KEX Hotel and Hostel Reykjavik.
How many cheap hotels should I expect to find in Reykjavik?
Expedia has 14 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, but bear 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 temperature of 10°C, while the coldest months are December and January, with an average of 0°C. Average annual precipitation for Reykjavik is 1281 mm.
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, Nautholsvik Geothermal Beach or Oskjuhlid Hill.
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 nearest airport is 1.2 mi (2 km) from the centre in Reykjavik (RKV-Reykjavik Domestic). However, if that doesn't suit your budget, you can look into flights to Keflavik International Airport (KEF), which is 23.2 mi (37.3 km) away. Reykjavik might not have many public transport choices so renting a car could be a reasonable alternative to see more of the area.

Explore a world of travel with Expedia