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The best hostels in South Iceland

Check out our pick of great hostels in South Iceland

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Review score

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, a terrace and a bar. The accommodation provides a shared kitchen, and luggage storage for guests. Very friendly and welcoming host! Good breakfast and there is free coffee and tea during the day. Beds were also comfortable and it was quiet in the dorm (12 people).

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9
Superb
1,584 reviews
Price from
US$75
per night

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. The location, the aesthetics, the facilities.

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9.1
Superb
2,143 reviews
Price from
US$38
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. The place is super comfy and spotless - better than hotel. They have everything from sanitary pads to hair straightener.

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9.1
Superb
106 reviews
Price from
US$111
per night

The rooms in the hostel are fitted with a coffee machine. Featuring a shared bathroom with a shower and a hairdryer, rooms at The Coffee House also boast free WiFi. The units will provide guests with a fridge. This little coffee house is very beautifull. Exactly how shown in the picture. Very clean and very cozy. The host was amazing, we were there during a storm and she was so helpfull ! Would really recommend to stay more than one night to really enjoy the little farm !

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9
Superb
277 reviews
Price from
US$94
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. Very clean, very comfortable, very nice location and great people.

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9.1
Superb
669 reviews
Price from
US$82
per night

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. Everything is perfect. Nice place to watch aurora. Staff is very friendly.

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8.6
Fabulous
5,993 reviews
Price from
US$61
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 . Great value for money, room was perfect, kitchen had everything we needed, bathroom was clean. Easy to acces from main road. Definitley recomending.

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8.1
Very good
3,239 reviews
Price from
US$146
per night

Bakki Apartments & Hostel offers dorm rooms and self-catering apartments by the sea in Eyrarbakki village. WiFi and parking are free. Reykjavík city centre is a 50-minute drive away.

Bakki Hostel's dormitory rooms have access to shared bathrooms, a guest lounge and a communal kitchen with tea/coffee facilities. Excellent room, welcoming host, all the facilities are there and good value for money.

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8.9
Fabulous
1,587 reviews
Price from
US$56
per night

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. Location was just great! Just off the ring road and so near to the Jokulsarlon lagoon and the surrounding activities which we booked (eg Glacier Adventure). So it is really a great base although it was pricey due to its location. But no regrets as it saved us travelling time and more resting time! We had 2 rooms that were next to each other. The whole hostel is very clean (we see the staff hard at work and the place smelling great) and the kitchen has excellent amenities for simple cooking. Enjoyed the coffee on the house and the excellent Icelandic happy marriage cake. Overall a very comfortable stay for 2 nights for 5 of us!

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8.8
Fabulous
1,605 reviews
Price from
US$173
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. Beautiful location in Laugarvatn, close to many main sights. Restaurants and grocery in the area are limited.

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8.4
Very good
1,487 reviews
Price from
US$127
per night

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