Southern Iceland Trip

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Where to stay in Southern Iceland

Find the best Southern Iceland areas and neighborhoods for the activities you enjoy most. Learn more about Southern Iceland
A cityscape with a prominent church, a body of water, and snow-capped mountains in the background.

Downtown Reykjavik

4 out of top 10 points of interest in this area
5/5(286 area reviews)

If you're spending some time in Downtown Reykjavik, Hallgrimskirkja and Reykjavik Pond are top sights worth seeing.

Find hotels in Downtown Reykjavik

Top hotels in Southern Iceland

Hotel Reykjavík Grand

Hotel Reykjavík Grand

4 out of 5
Sigtun 28 Reykjavik
Fully refundableReserve now, pay when you stay
The price is ₹28,151 per night from 3 Aug to 4 Aug
₹28,151
₹31,854 total
3 Aug - 4 Aug
includes taxes & fees
9/10 Wonderful! (1,009 reviews)
"Great modern hotel on the outer reaches of the town centre."

Reviewed on 6 Jul 2026

Hotel Reykjavík Grand
Grandi by Center Hotels

Grandi by Center Hotels

4 out of 5
Seljavegur 2 Reykjavik
Fully refundableReserve now, pay when you stay
The price is ₹35,367 per night from 12 Jul to 13 Jul
₹35,367
₹39,862 total
12 Jul - 13 Jul
includes taxes & fees
9.4/10 Exceptional! (1,637 reviews)
"Funky hotel in a fantastic location, very friendly and helpful staff and the most amazing breakfast - this will be my go to hotel for my next trip to Reykjavik."

Reviewed on 6 Jul 2026

Grandi by Center Hotels
Miðgarður by Center Hotels

Miðgarður by Center Hotels

4 out of 5
Laugavegur 120 Reykjavik
Fully refundableReserve now, pay when you stay
The price is ₹34,081 per night from 9 Jul to 10 Jul
₹34,081
₹38,437 total
9 Jul - 10 Jul
includes taxes & fees
9.4/10 Exceptional! (1,134 reviews)
"It was a nice hotel with a short walk to city center and on street parking"

Reviewed on 5 Jul 2026

Miðgarður by Center Hotels
See all 2,029 properties in Southern Iceland
Lowest nightly price found within the past 24 hours based on a 1 night stay for 2 adults. Prices and availability subject to change. Additional terms may apply.

Stay near popular Southern Iceland attractions

A marina with various boats docked, a large ship in the background, and a cityscape with buildings.

Reykjavik Harbour

9.2/10 (8,713 reviews)
Reykjavík's historic harbour pulses with maritime culture amid colourful repurposed fishing buildings. Embark on whale watching or Northern Lights cruises while enjoying panoramic views of Faxaflói Bay and Mount Esja.
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Frequently asked questions

How much does a Southern Iceland holiday package cost?
The most affordable Southern Iceland package is , so your dream trip can become a reality — without breaking the bank. Combine flights, hotels and car rentals to customize a package suited to your travel style.
How do I get a cheap travel package to Southern Iceland?
You'll save a pile of money if you bundle your flights, hotels and car rentals into a Southern Iceland travel package. Sometimes cheap means fewer choices. But not with Expedia. We offer over 550 partner airlines and 1,000,000 properties all over the world, so you'll always have plenty of variety to choose from. Want to save even more? Add some fun activities to your package deal and unlock even bigger discounts! After all, travel is about more than simply getting to your destination.
Where should I stay in Southern Iceland?
You'll have lots to do in Reykjavik, with well-known landmarks like Hallgrimskirkja and Blue Lagoon to explore. Or, if sights like Thingvellir National Park and Geysir Hot Springs are more your style, Bláskógabyggd is the place to head.
What are the top hotels in Southern Iceland?
When it comes to properties in Reykjavik, Centre Hotels Plaza and Reykjavik Residence Hotel are among the favourites. If you're also visiting Golden Circle, Hotel Vík í Mýrdal and Courtyard by Marriott Reykjavik Keflavik Airport will make you feel right at home.
How far in advance should I book my Southern Iceland holiday?
While not all air carriers release tickets early, it's usually possible to compare international fares on Expedia up to a year in advance. This is when you can score some fantastic bargains. If you've left things to the last minute, you may still be in luck. Sometimes the cheapest prices appear a few weeks before departure.
What does an Expedia Southern Iceland travel package include?
Hotels, flights and rental cars, or any combination of them — it's your pick! Whether you're visiting Southern Iceland with the whole family or travelling by yourself, there's a package to suit every budget and style. Once you've made your booking, why not add on a few tours as well?
What should I know before booking a Southern Iceland travel package?
Our prices are always low. However, you'll score even better deals if you book your hotels, flights and car rentals together. With an Expedia package, you'll get transparent pricing and a terrific range of choice.
Can I choose my airline with a Southern Iceland Expedia holiday package?
With a holiday package, you're in charge. Whether you'd like to fly to Southern Iceland in business or coach, simply select from the available airline options. Expedia has access to more than 550 airline partners worldwide.
If I'm not able to travel, can I cancel my Southern Iceland holiday package?
You sure can, and we'll help you every step of the way. You may be able to cancel and rebook your Southern Iceland holiday package for free if you booked in the last 24 hours. But you may incur a fee from your airline, hotel or car rental company for older bookings. If your travel plans unexpectedly change, take a look at our Customer Service Portal for more information.

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* Savings based on package bookings compared to the price of the same components booked separately. Savings not available on all packages.