| Area | Best for | Good to know |
|---|---|---|
| Reykjavik | Short stay, coach tours, restaurants | Base for most tours; see things to do in Iceland |
| Keflavík peninsula | Early or late flight, Blue Lagoon | Blue Lagoon is about 20 minutes from the airport; see Blue Lagoon |
| Golden Circle (Selfoss, Hveragerði) | Car travellers, quiet | A tour passes Hveragerði early on; see Golden Circle |
| South Coast (Hella, Vík) | Waterfalls, black beach | Vík is about 180 km from Reykjavik; see South Coast |
| Southeast (Höfn, Skaftafell) | Glaciers, ice caves | See ice caves |
| North (Akureyri) | Whales, Lake Mývatn | Far from the south: fly or plan a long drive |
Reykjavik
The centre, Miðbær, is the simplest first stay: Hallgrímskirkja, Harpa, the museums and the restaurants are within walking distance. Vesturbær, west of the centre, is a quieter residential base near the National Museum and the Vesturbæjarlaug pool. Laugardalur, just east of the centre, suits families, with a pool, the Botanical Garden and a family park. Kópavogur, just south of the centre, is the choice if you want Sky Lagoon close by. Hafnarfjörður, southwest of the centre, has a historic harbour and holds its Viking Festival in June. The Grandi old harbour area is the one for food and art, with the Flyover Iceland and Whales of Iceland.
Keflavík peninsula
Choose it only for a very early or late flight. The Blue Lagoon is about 20 minutes from the airport and about 45 to 50 minutes from Reykjavik, so you can soak on arrival or departure day without the drive into town. There is little else nearby.
Golden Circle bases
Sleep in Selfoss or Hveragerði if you have a car and want to see Þingvellir, Geysir and Gullfoss at your own pace. Hveragerði is 45 km east of the capital. Laugarvatn has the Fontana baths, and Flúðir has the Secret Lagoon. The loop is about 230 to 250 km, depending on the route you take. For a design stay with saunas near the lake, the ION Adventure Hotel by Lake Thingvallavatn is named in the Golden Circle base guide, at Nesjavellir.
South Coast
Vík is the best base if you want the South Coast sights on both sides of one night: Reynisfjara is near, and the Katla ice cave tour meets there. Hella and Hvolsvöllur are closer to the Golden Circle, and Skógar is the base for Skógafoss. Vík is about 180 to 190 km from Reykjavik.
Southeast and north
Höfn is about 455 km from Reykjavik and works as the base for the glacier lagoon, which lies about 380 km from the capital. Skaftafell is 70 km east of Kirkjubæjarklaustur. Akureyri, in the north, is far from the south: fly, or plan a long drive, and take the whale-watching tours from downtown Akureyri.
How to choose
- No car: Reykjavik, with guided tours. Every tour we list starts from the capital, and the city centre is walkable. See getting around Iceland.
- With a car: one night near each major sight, for example Vík after the waterfalls. See car rental and the itinerary.
- Ice caves: the Katla cave tour meets in Vík, so sleeping there saves the long drive back and forth. See the ice cave guide.
- Northern lights: tours leave from Reykjavik for darker skies, so you do not need to sleep outside the city. See the tour guide.
- Budget: see the Iceland budget.
FAQ
Where should I stay on a first visit?
In Reykjavik, where all the tours we list depart.
Do I need to book early?
Yes for peak dates, when rooms fill up; check the cancellation terms of each room. To sleep near the route, see where to stay near the Golden Circle.
Can I stay near the airport?
Yes, on the Keflavík peninsula, for a very early or late flight.
The Iceland Authority editorial team, 6 November 2026.
