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The best hostels in South Iceland

Check out our pick of great hostels in South Iceland

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Superb: 9+ Very good: 8+ Good: 7+ Pleasant: 6+
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Set in Hvolsvöllur, 3.5 km from Seljalandsfoss, Paradise Cave Hostel & Guesthouse offers accommodation with a garden, free private parking and a bar. The accommodation provides a shared kitchen, and luggage storage for guests. What's not to like about this guesthouse! The host is amazing and shared rooms are also big enough to not feel claustrophobic. The property is right on the ring road. It is near Seljalandafoss and Skogafoss on the other side.

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9
Superb
1,509 reviews

Located in Hvolsvöllur and with Seljalandsfoss reachable within 22 km, Midgard Base Camp provides concierge services, non-smoking rooms, a shared lounge, free WiFi throughout the property and a terrace. Providing a restaurant, the property also has a garden, as well as a sauna and a hot tub. The accommodation features evening entertainment and a tour desk.

Buffet and continental breakfast options are available at the hostel. Everything was great. There was heating, sauna and hot tub, very special at cold days. There was special utilities that can dry your clothes and shoes, it was great. A small kitchen apart. You can serve a tea or coffee for free in the restaurant as a guest. Showers and toilets are common, but are several so you shouldnt stay to wait for a long. Rooms are common too, but your bed is closed with special curtains, so you are not disturbed. We like it even if it was a common room.

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9.1
Superb
2,109 reviews
Price from
US$35
per night

Overlooking Höfn Harbour and Vatnajökull Glacier, this hostel features a guest kitchen, BBQ area and laundry facilities.

Höfn Hostel offer some rooms with shared bathroom and some with private bathrooms. Some rooms are accessible. Everything was Perfect! We were very safisdied :) Beautiful hostel.

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9
Superb
2,830 reviews
Price from
US$53
per night

Located in Fludir, 25 km from Geysir, Efra Sel Hostel provides accommodation with a garden, free private parking, a shared lounge and a terrace. The accommodation offers a shared kitchen and free WiFi. Booked this accoms last minute as our original accoms was double booked and we got kicked out. Booked at 10pm and immediately got the instructions to check in. very spacious common living and kitchen area and toilets are big and clean.

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9.1
Superb
132 reviews
Price from
US$95
per night

This Icelandic horse farm provides accommodation in Haukadalur Valley, 90 minutes’ drive from Reykjavik. Overlooking Geysir, it offers a guest lounge, garden and horse riding tours.

Some of Geysir Hestar’s accommodation options feature a kitchen and a seating area with sofa. Toilets and showers are either private or shared. A hidden gem. Perfect for a night or two. Great restaurant nearby too

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9.2
Superb
670 reviews

The Barn is located near the village of Vík between the Mýrdalsjölill Glacier and the southern coast of Iceland. This hostel provides free WiFi and complimentary parking on site.

The Barn features a communal kitchen and an information desk. Guests are provided lockers for their personal belongings. A hostel bar is at your disposal. Rooms and showers were very clean. The kitchen was excellent, so many stuff was provided. The air conditioner in the dorm rooms was excellent. Staff was helpful. Aromatic waters provided at the entrance were great!

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8.7
Fabulous
5,879 reviews
Price from
US$63
per night

Set 26 km from Kirkjubæjarklaustur in the South Iceland Region, 40 km from Fagrifoss, Hvoll Guesthouse features a barbecue and views of the mountain. Systrafoss twin falls is 24 km away.

All rooms are fitted with a shared bathroom. Hvoll Guesthouse features free WiFi . A perfect place to see Northern lights :) We had a big luck and see it couple of times.Rooms are comfortable, big kitchen area and enough shared toilets and bathrooms. Views are amazing !

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8.1
Very good
3,253 reviews

Set a 10-minute drive from Jökulsárlón Glacier, this farm Guesthouse offers rooms with free Wi-Fi and mountain views. Iceland’s Ring Road is right next to the property.

Guest rooms at Skyrhusid Guesthouse have an in-room wash basin. All have access to shared bathroom facilities. Bed linen and towels are included. Great place to stay! Kitchen is well equipped, hostel is clean and rooms were cosy. There was a welcome cake in the morning for everyone. That was so nice!! Also, one skyr was reserved for every guest in the fridge.

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8.8
Fabulous
1,546 reviews
Price from
US$149
per night

Set in a 1920s former school building, Héradsskolinn offers both private rooms and dorms. All rooms feature bright décor, lake- or mountain views and access to a pool table and TV lounge. Guests can choose between rooms with private or shared bathrooms. The building is beautiful both inside and out, with a unique charm thanks to its history as an old school. The atmosphere has a very cool, distinctive vibe. Our room was on the smaller side, but it was comfortable and cozy. The shared bathrooms were decent and served their purpose. We also opted for breakfast, which featured a wide variety of options—and everything we tried was delicious.

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8.4
Very good
1,435 reviews
Price from
US$85
per night

Situated in Hrífunes, 47 km from Fagrifoss, The Fox Hostel features accommodation with free WiFi and free private parking. Guests can enjoy mountain views.

All units in the hostel are fitted with a kettle. The rooms at The Fox Hostel are fitted with a shared bathroom and bed linen. Great place, wonderful welcome, super clean and cozy. Extremely recommended!!!:)

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8.7
Fabulous
227 reviews
Price from
US$77
per night

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