Where to stay in Reykjavik

City centre: Laugavegur and Austurstræti

Reykjavik's main shopping and nightlife street, Laugavegur, is the most convenient base. You are within walking distance of Hallgrímskirkja, the harbour, restaurants, bars and tour pick-up points. Hotels here suit first-time visitors who want everything on their doorstep.

Expect smaller rooms and higher prices than in other European capitals. Book early in summer, as central inventory sells out quickly.

Midtown and east Reykjavik

Areas such as Hlíðar and Vesturbær are a 10–15 minute walk or short bus ride from the centre. You will find more apartments, guesthouses and budget rooms here, often with better parking. This is a smart choice for families and self-catering travellers.

Hotel types in Reykjavik

• Boutique hotels: design-led properties along Laugavegur and nearby streets, often with compact but stylish rooms.
• Apartment hotels: great for longer stays, families or anyone who wants a kitchen and more space.
• Hostels and guesthouses: the cheapest beds are usually in shared rooms or small guesthouses slightly outside the core.

When to book

Reykjavik is busiest from June to August and around Christmas and New Year. For summer visits, book three to six months ahead. Winter weekends around the northern lights season are also popular, but you can often find last-minute deals from January to March.

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