Hostels in Reykjavik

Hostelling is quite popular in Iceland and you’ll find several options to meet your budget. Prices change a lot with the season, so compare dorm rates before you book. As of 2026, for mid-October dates a dorm bed cost 4,000 to 5,150 ISK a night at Dalur and 5,000 to 5,900 ISK at Loft, plus an 800 ISK lodging tax per unit per night. Also check whether bed linen is included: at the two Reykjavik HI hostels, Loft on Bankastræti and Dalur next to the Laugardalur pool, it is. HI Iceland lists 17 Hostelling International hostels around the country, and there are dozens of independently-owned hostels as well. Some offer private or family rooms, though most have only shared bathrooms.

Guesthouses are another good option and fall somewhere between hotels and hostels. They often have shared bathrooms, kitchen facilities and common areas, but they are generally quieter and offer extras like free internet and breakfast. Some offer ensuite and apartment rooms as well.

Search this map to find hostels in Reykjavik, or find even more hostel options by searching with the widget above

Search this map to find hostels in Reykjavik