Where to Stay in Reykjavik: Northern Lights, Downtown & More

Where to Stay in Reykjavik Best Hotels Reykjavik


Where to Stay in Reykjavik, Iceland


For such a small city, the amount of things to do in Reykjavik, Iceland is truly incredible. Whether you’re taking a road trip to catch the Northern Lights, enjoying some natural healing in one of Iceland’s many hot springs, or simply checking out some unique dishes in the city (reindeer or puffin burgers, anyone?), the list of things to do in the world’s northernmost sovereign capital is truly endless.

Likewise, the amount of Reykjavik hotels is surprisingly vast as well, from upscale minimalist European towers to posh lodges off the beaten path.

If you need some guidance for where to stay in Reykjavik, keep reading for the best Iceland hotels!




The Best Hotels in Reykjavik

To summarize, here’s a handy chart summarizing our picks for best Reykjavik hotels. All include free wifi and are known for comfort, great locations and great customer service.


Reykjavik’s Top Hotels – Summary Comparison Chart

Name Location Best For Price
Northern Light Inn Outside Reykjavik Northern Lights Check rates: Hotels.comBooking.com
101 Hotel Downtown Reykjavik Millennials Check rates: Hotels.comBooking.com
Reykjavik Residence 101 District Families Check rates: Hotels.comBooking.com 
Hotel Holt Downtown Reykjavik All Check rates: Hotels.comBooking.com
Reykjavik Lights Outside downtown Budget Check rates: Hotels.comBooking.com

Below is more information about each hotel and why we recommend it!



Best Hotels in Reykjavik Iceland Northern Light Inn
Best Hotels Reykjavik ICE Northern Light Inn


Northern Light Inn

Located on a quaint yet posh lodge just 45 minutes north of Reykjavik, the Northern Light Inn is – and circle really gets the square on this one – the perfect place for hopeful visitors to see the famed Aurora Borealis lights.

While you’re waiting though, feel free to enjoy one of the 42 guest rooms that feature everything from genuine Icelandic down comforters to windows directly overlooking the rocky Icelandic topography.


What makes this one of the best hotels in Reykjavik to see the Northern Lights?

Though it may be slightly off the beaten path, the Northern Light Inn is rapidly modernizing to create an amenity-rich experience matching that of any upscale Reykjavik locale.

If you book just a day in advance, the Northern Light Inn offers exclusive airport shuttles at rates a third lower than market. Plus, with a brand new wellness spa that just opened in August 2017, the Northern Light Inn makes sure its guests are pampered right before the beautiful lights come out!

Check rates: Hotels.comBooking.com

Read reviews: TripAdvisor



Best Hotels Reykjavik ICE Hotel 1
Best Hotels Reykjavik ICE Hotel 1


101 Hotel

Located in the heart of downtown Reykjavik, the 101 Hotel has all the blacks, whites, and sleek modern furniture that you would expect from a Nordic upscale hotel.

With eight room and suite options – several featuring stunning balcony views of the Reykjavik cityscape – and an opulent basement gym and spa to go with Kitchen and Wine, one of Iceland’s trendiest restaurants, the 101 Hotel, as a crash course in Reykjavik high life, is aptly named!


What makes this one of the best hotels in Reykjavik?
Despite its deserved reputation as one of Reykjavik’s most upscale hotels, the 101 Hotel always seems to find a way to offer deals that make it an extremely competitive booking. Some of the best deals going right now include getting every third night free during your reservation.

What about if Iceland’s always been on your bucket list? Book more than 3 weeks in advance, and get 15% off the best available rate for your entire stay.

Check rates: Hotels.comBooking.com

Read reviews: TripAdvisor



Best Hotels in Reykjavik Iceland Reykjavik Residences
Best Hotels in Reykjavik Iceland Reykjavik Residences


Reykjavik Residence Hotel

Though relatively new, the Reykjavik Residence Hotel is quickly making a name for itself on the Iceland hotel scene. As its name suggests, the Reykjavik Residence Hotel offers apartment suites rather than traditional hotel rooms to offer its guests a home-away-from-home feeling.

Each of the 7 apartment suite options has a customized design, private kitchen, and spacious sitting areas, making it easy to see why TripAdvisor ranks this lodge as Iceland’s best hotel!


What makes this one of the best hotels in Reykjavik, Iceland?

Though only open since 2010, the Reykjavik Residence Hotel was able to secure a palatial building on the Reykjavik Historical Registry to develop its masterpiece.

Pair this with a prime location in Iceland’s 101 district that features easy walking access to the best of Reykjavik restaurants, shopping, and nightlife, and it’s easy to see why one of Reykjavik’s youngest hotels is also one of its most popular!

Check rates: Hotels.comBooking.com 

Read reviews: TripAdvisor



Best Hotels in Reykjavik Iceland Hotel Holt
Best Hotels in Reykjavik Iceland Hotel Holt


Hotel Holt

Conveniently located in the heart of downtown Reykjavik, the Hotel Holt provides its guests with four room and suite options and an overwhelming art collection to use as their base of Icelandic exploration.

Having been family-founded and owned for over 50 years, the Hotel Holt offers a warmth, cordiality, and deep immersion in Icelandic culture that’s hard to find anywhere else in Reykjavik!


What makes this one of the best hotels in Iceland Reykjavik?

A very fortunate benefit of staying at the Hotel Holt is that you are also staying in the same building as the epicenter of Reykjavik fine dining, Gallery Restaurant.

Set among an expansive painting collection and plush red carpet, the Gallery Restaurant offers its patrons some of Iceland’s finest wares, including Icelandic veal carpaccio, lobster soup and salted cod tartare.

Check rates: Hotels.comBooking.com 

Read reviews: TripAdvisor



Best Hotels in Reykjavik Iceland Reykjavik Lights
Best Hotels in Reykjavik Iceland Reykjavik Lights


Reykjavik Lights by Keahotels

Inspired by the various lights that shape Icelandic – the Northern Lights, the shifting and extreme amounts of sunlight (or lack thereof) to which Iceland is exposed – the Reykjavik Lights by Keahotels designs its smart minimalist rooms, lobby, bar, and restaurant with this unique concept of light and light sources at the forefront.


What makes this one of the best hotels in Reykjavik?

Located still in but just on the edge of Reykjavik’s epicenter, the Reykjavik Lights is perfect for those desiring a bit more of a secluded hotel experience while still being close to all the action.

Guests at Reykjavik Lights are just minutes away from The Laugardalur, which features Iceland’s largest outdoor thermal pool, and many of Reykjavik’s top restaurants, clubs, galleries, and cafes.

Check rates: Hotels.comBooking.com

Read reviews: TripAdvisor




And that’s it! Hope our guide to Reykjavik’s best hotels will help you make the most of your stay.

Whether you’re looking for a hip boutique hotel downtown, a family friendly hotel for kids or a remote hotel to best see the Northern Lights in Iceland, these top hotels in Reykjavik are sure to please.


Iceland Vacation Checklist


Fun Tours in Reykjavik



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