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The best boutique hotels in South Iceland

Check out our pick of great boutique hotels in South Iceland

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Superb: 9+ Very good: 8+ Good: 7+ Pleasant: 6+
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The family-owned Hótel Lækur is set on an Icelandic horse farm, between the Golden Circle and the south coast. Hella is 10 minutes’ drive away. It offers a sun terrace and a guest lounge.

The bright, modern rooms feature wooden floors and private bathrooms. Some include either a terrace or balcony. The surrounding views take in the Hekla and Eyjafjallajökull volcanoes. It was a very snowy and windy day, but despite the harsh weather, our host was incredibly welcoming. Even the following day, when the conditions remained just as bad, she was kind enough to offer us a late check-out at no extra charge. She didn’t rush us to leave, which made our stay even more comfortable and stress-free. To make our experience even better, they provided us with a free breakfast, which was absolutely amazing. The food was fresh, delicious, and exactly what we needed to start the day. It was a thoughtful touch that made us feel even more at home. The place itself was cozy and inviting, with a warm and homely atmosphere. One of the highlights was the game/chill room, which had a wide variety of games, making it the perfect spot to relax and unwind. Whether it was board games, card games, or other entertainment options, there was something for everyone to enjoy. Overall, it was a truly wonderful and memorable stay, made even better by the thoughtful and accommodating host. We would definitely love to return!

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9
Superb
1,253 reviews
Price from
US$249
per night

Located by the harbour in Höfn village, Oldairline Guesthouse offers a shared kitchen/lounge, plus free WiFi and parking. Jökulsárlón glacier lagoon is a 1-hour drive away.

Featuring modern décor and a flat-screen TV, all rooms at Oldairline have access to 2 shared bathrooms with free toiletries. The place is beautiful, fully equipped, with a good coffee machine, and the owner is very kind and helpfull ! Furthermore the guesthouse is in the center of Hofn and 50m from the sea. Strongly recommended !

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9.1
Superb
346 reviews
Price from
US$142
per night

Offering a garden and sea view, Kósý Vík is set in Vík, 800 metres from Black Sand Beach and 34 km from Skogafoss Waterfall. This homestay offers free private parking and full-day security. Boasting family rooms, this property also provides guests with a sun terrace. Very clean, comfortable and cosy, well-equipped with linen and food/drink facilities, good location, and very welcoming and friendly hosts! They showed us how to use the facilities I.e. Coffee machine and provided a map and recommendations. We felt very safe, warm, and comfortable here.

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9.3
Superb
176 reviews
Price from
US$172
per night

Located in central Selfoss, these self-catering apartments include a well-equipped kitchen and free WiFi access. Thingvellir National Park is a 30-minute drive away.

A seating area and flat-screen TV feature in all apartments at Thoristun Apartments. Each apartment has a bathroom with shower. Some have a private terrace. Easy check in, good location, big apartment, fully equipped (finally had an oven to cook pizza xoxo) and free parking around. The view of the river and the walk in the sunset was amazing for the last day in iceland. We enjoyed the place and it left a good taste for future. We will comeback.

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9.4
Superb
679 reviews
Price from
US$173
per night

Guesthouse Dyngja is located in Höfn and offers barbecue facilities. This property offers access to a patio and free private parking. Featuring family rooms, this property also provides guests with a picnic area. Good facilities with very new kitchen utensils. Location is also very close to many restaurants. Room is comfortable and clean. Not too crowded in the house.

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9.1
Superb
853 reviews
Price from
US$104
per night

Featuring a stargazing observatory on site, this luxury hotel is in an idyllic remote location next to the Rangá salmon river in Hella. The hotel offers wake-up calls for when the Northern Lights appear and turns off all lighting for the viewing experience. Guests can also enjoy outdoor hot tubs and free WiFi. Very nice location comfortable and extremely friendly staff. We could even see the northern lights in our room.

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9
Superb
377 reviews
Price from
US$439
per night

Offering views of Vatnajökull glacier, this former milk factory offers accommodation in Höfn and is just 4 km from the town centre. Free WiFi and private parking is available on site.

The rooms have simple decor and come with a TV. Certain rooms have views of the mountain or garden. All rooms are equipped with a private bathroom. Amazing place! Very nice people, gorgeous family rooms, great breakfast 😊 highly recommend!

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8.9
Fabulous
2,054 reviews
Price from
US$153
per night

Fosshotel Glacier Lagoon offers luxurious accommodation in Hnappavellir. Guests can enjoy the on-site restaurant and hotel bar. Fjallsárlón lagoon is 20 km from the hotel and the glacier lagoon Jökulsárlón and the diamond beach are 29 km away from the hotel. Free WiFi access is available throughout the hotel. On-site parking is free. Amazing breakfast, comfort bed, big rooms, friendly stuff, delish dinner

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8.9
Fabulous
4,660 reviews
Price from
US$252
per night

Housed in a former pharmacy building, Apotek Guesthouse offers accommodation in Höfn. This guest house has a shared kitchen and free WiFi. Free private parking is also available on site.

Each room features a flat-screen TV and views of the mountains. Guests can choose from rooms with private or shared bathroom facilities. Bed linen and towels are included for extra comfort. Easy check in, clean rooms, good kitchen.

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8.8
Fabulous
2,005 reviews
Price from
US$96
per night

Set just 1 km from Hornafjördur Airport. Free WiFi access. The Route 1 Ring Road is right next to the guest house.

A seating area and work desk feature in all guest rooms at Seljavellir Guesthouse. Each room has a private bathroom with shower. Some rooms offer mountain views while others feature glacier views. New rooms. Perfect beds. Big bathroom. You could use common space to prepare and eat your breakfast.

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8.4
Very good
1,931 reviews
Price from
US$121
per night

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