The Iceland South Coast is a wonderful region with waterfalls, glaciers, lagoons, blank sand beaches and much more!
It is a large area that deserves several days of exploring.
So, where to stay in South Iceland?
Below, I am sharing with you all my accommodation tips:
- Map and areas to stay on the Iceland South Coast
- Best hotels in South Iceland: in Vik, Höfn and more
- Alternative options
- …
Best hotels in South Iceland – quick answers
If you don’t want to read the entire article, with explanations of the various areas, here are my short answers.
This selection is completely independent, based on my experiences and research. I visited the region anonymously, making my own choices, and paying all my bills in full.
Best towns
- Vik for a more central stay – see best-rated accommodations
- Höfn when road tripping towards or from the East Fjords – see best-rated accommodations
- Selfoss when road tripping towards or from the Golden circle – see best-rated accommodations
But it can also be great to stay in between surrounded only by the impressive nature of Iceland.
Best South Iceland hotels
- Magma Hotel
Between Vik and Jokulsarlon, Rooms with Nordic design in peaceful surroundings, with small oustide areas.
– see photos and availability - Hotel Vik i Myrdal
I also had the chance to stay there during a Summer trip.
This is a stunning hotel with modern design. It has a restaurant and you can walk to town.
– See photos and availabilities - Hotel Katla
Near Vik.Good restaurant on site.
I had the chance to stay in this hotel in Summer and in Winter. And they have added some stunning rooms.
Not all rooms have the modern design you can see below. Make sure to check the pictures relating to the room you are booking.
See more photos and availabilities - Fosshotel Glacier Lagoon
30min west fo the Jokulsarlon lagoon
It you enjoy beautiful design, this is the best option around Jokulsarlon.It also has a spa, a restaurant and a bar with smaller food items
it is quite central between Skaftafell and Jokulsaron
– see photos and availability - 360 Hotel & Thermal Baths
10 min outside of Selfoss, rooms with beautiful decors, spas and more natural views
– see photos and availability – and book!
Some of the best guesthouses on the South Coast
- Guesthouse Reynir
Outside Vik, more isolated. Great stay in Nature.
– See photos and availabilities - Guesthouse Dyngja, also right by the harbour
in Höfn, it has studio, apartment and rooms with shared bathrooms
– see photos and availability - Lækjaborgir Guesthouse
Between Vik and Jokulsarlon, Bungalows and studios that are very charming, to feel almost alone in nature
– see photos and availability - Bru Guesthouse,
Near Seljalandsfoss, cabins with all the facilities and great views
– see photos and availability – and book!
Need to rent a car in Iceland?
My tips:
- Compare prices on my favorite platform: Discovercars.com – one of the best rated comparison sites!
- Prefer a compact car for the narrow streets in villages
- Consider their full coverage option – it for peace of mind!
- Book early to have a large choice of vehicles!
Where to stay on Iceland South Coast – map + tips
Map of best areas to stay
There are 6 main options to stay along the South Coast of Iceland
- Town of Vik
the main town in the region and quite central – great as a base to explore the many attractions - Town of Höfn
a charming little town that is allows you to transition from the South coast to the East Fjords. - The Edrhaun lava field
with hotels, guesthouses and a central location to explore the region - Around Jokulsarlon
some countryside stays to be close to on the most famous places in South Iceland - Around Seljalandsfoss
Countryside stay near waterfalls, surrounded by nature - Selfoss
another great transition place on a road trip between the Golden Circle and the South Coast
Accommodations tips in South Iceland
- You should not have any parking problems
- Note that many guesthouses offer rooms with share bathrooms. Be careful if this is critical for you
- If you are staying in a place between towns, make sure you have a way to find dinner (restaurant on site or in a hotel nearby). Pay attention to opening times!
- If traveling outside Summer, you could have the chance to see the northern lights. For more chances, choose accommodations away from any light pollution (so, not in towns).
Best place to stay in South Iceland – planning your itinerary
I think the best way to travel around Iceland is by road trip.
I recommend you stay at least one night around Vik and one night around Jokulsarlon – Höfn.
For help defining your itinerary with the South Coast, check out my articles:
- best things to do on the South Coast in Summer
- best things to do on the South Coast in Winter
- Iceland itinerary 5 days (4 options)
- Iceland itinerary 7 days (5 options)
- 10-day Iceland itineraries (4 option)
- 14-day Iceland itinerary
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Option 1 – Where to stay in Vik
Where is Vik?
Höfn is the main town at the East end of the South Coast.
- Reykjavik to Höfn = 6h
- Vik to Höfn = 3h30
- Jokulsarlon to Höfn = 1h
Why stay in Vik
Vik is way further away, but it is the main hub along the South Coast.
This is a very central locations to explore all the area.
If you are not going on a road trip and want to stay several nights in one place, this can be a great option.
You can find a large choice of accommodations with hotels, guuesthouses, hostels, apartments…
Plus it is close to superb black sand beaches.
However…
It is the gathering point of most tourists…
Hotels in Vik
- Hotel Katla
I had the chance to stay in this hotel in Summer and in Winter. And they have added some stunning rooms.
Good restaurant on site.
Not all rooms have the modern design you can see below. Make sure to check the pictures relating to the room you are booking.
See more photos and availabilities - Hotel Vik i Myrdal
I also had the chance to stay there during a Summer trip.
This is a stunning hotel with modern design.
It has a restaurant and you can walk to town.
– See photos and availabilities - Hotel Kria
Modern design with large windows to enjoy nature
Restaurant on site
– See photos and availabilities
Other accommodations in Vik
And you can also consider:
- Guesthouse Galleri Vík
Mostly rooms with shared bathrooms, in the heart of town.
– See photos and availabilities - Guesthouse Carina
In a beautiful house with great views
– See photos and availabilities - Guesthouse Reynir
Outside town, more isolated. Great stay in Nature.
– See photos and availabilities
–> Otherwise check out the best rated accommodations in Vik
Option 2 – Where to stay in Höfn
Where is Höfn?
Höfn is the main town at the East end of the South Coast.
- Reykjavik to Höfn = 6h
- Vik to Höfn = 3h30
- Jokulsarlon to Höfn = 1h
Why stay in Höfn
It is a great location to stop before heading to the East fjords. The perfect road trip stop. It is the closest town to Jokulsarlon.
Plus the town has a lot of charm, surrounded by water with mountain views all around.
In town, you can enjoy the harbor and its fishing boats. And head to see the sculptures by the sea.
However…
It is far east. Not a good base to explore the entire region.
Hotels in Höfn
- Höfn Berjaya Iceland Hotel
I have stayed at Berjaya Iceland Hotels (before called Edda Höfn) and spent a great night.
The hotel is right by the harbor. It is clean and practical.
– see more photos and availability - Hotel Jökull
Outside of town, with modern and warm design
– see more photos and availability
Other accommodations in Höfn
But you can also find guesthouses, apartments and hostels such as
- Guesthouse Dyngja, also right by the harbour
It has studio, apartment and rooms with shared bathrooms
– see photos and availability - Old Airline Guesthouse
Rooms with shared bathrooms
– see photos and availability - Höfn Hostel
– see photos and availability - Apartment to rent by the sea with simple yet practical design
– see photos and availability
–> Otherwise, check out the best rated accommodations in Höfn
Option 3 – Eldhraun area
Between Jokulsarlon and Vik (but closer to Vik) is a large lava field.
The field is the result of one of the largest eruptions in recorded history: the eruption named Skaftareldar lasted several months in 1783 and 1784. It is called Eldhraun.
Reykjavik to Kirkjubæjarklaustur = 3h30
Why stay around Eldhraun
The main reason is the central location. It is the most central you can be in regards to all the attractions of the South Coast.
They can all be visited on a day trip from there: Jokulsarlon is 1h40min away and Seljalandsfoss is 2h away.
Plus, you can be away from light sources and have a chance to see the northern lights, the stars and just enjoy nature a little more.
However…
You are not in a main town, so you have limited options for dinner.
Hotels and accommodations around Eldhraun
- Hotel Klaustur
a modern hotel with large windows to enjoy nature!
Bar and restaurant on site.
– see photos and availability - Magma Hotel
Rooms with Nordic design in peaceful surroundings, with small oustide areas.
– see photos and availability - Dalshöfdi Guesthouse
Along a river, you can stay in apartments or rooms with shared bathroom.
– see photos and availability - Lækjaborgir Guesthouse
Bungalows and studios that are very charming, to feel almost alone in nature
– see photos and availability
Option 4 – Where to stay near Jokulsarlon
Jokulsarlon is a glacial lagoon and black sand beach where you can admire icebergs. It is one of the jewels of the South Coast, but located more towards the East.
- Reykjavik to Jokulsarlon = 5h drive on Road 1
- Vik to Jokulsarlon = 2h30 drive
- Höfn to Jokulsarlon = 1h10 drive
Learn more in my articles about visiting Jokulsarlon in Summer, and in Winter.
Why stay around Jokulsarlon
The main reason is to be able to visit the lagoon and Diamond beach several times under different conditions: sunrise, sunset, northern lights, fog, sun…
To be away from light sources and have a chance to see the northern lights, the stars and just enjoy nature a little more.
However…
You are not in a main town, so you have limited options for dinner.
Hotels near Jokulsarlon
- Hotel Smyrlabjorg
This hotel is 30 min east from the lagoon.
There is a restaurant on side, open in the evening with a large choice of food.
The design is very countryside and a bit dated. But it is clean, spacious and smooth-running. I enjoyed my stay here.
– see photos and availability – and book! - Hali Country hotel –
the closest, 15min drive east from the lagoon
– see photos and availability - Fosshotel Glacier Lagoon
30min west of the lagoon
It you enjoy beautiful design, this is the best option around Jokulsarlon.It also has a spa, a restaurant and a bar with smaller food items
it is quite central between Skaftafell and Jokulsaron
– see photos and availability
Other best rated accommodations
- Ekra Glacier Lagoon – guesthouse with several rooms and nice decorations
– see photos and availability - Skyrhusid hostels – rooms with shared bathrooms
– see photos and availability - Guesthouse Kálfafellsstadur – rooms in a house with shared bathrooms
– see photos and availability - Vagnsstadir Guesthouse – quiet and without light pollution
– see photos and availability - Lækjarhus Farm Holidays – with a range of different accommodations (including for larger groups)
– see photos and availability
Learn more in my article about where to stay near Jokulsarlon.
Where to stay in Iceland?
My favorites:
- Reykjavik, capital city: see best rated accommodations – or my article on where to stay
- Selfoss, between Golden Circle and South Coast: see best rated accommodations
- Vik, near waterfalls and glaciers: see best rated accommodations
- Höfn, gateway to the East fjords: see best rated accommodations
- Egilsstadir, between fjords and North Iceland: see best rated accommodations
- Reykjahlid, for the wonders of Lake Myvatn: see best rated accommodations
- Akureyri, capital of the North: see best rated accommodations
- Grundarfjordur, on the Snaefellsnes Peninsula: see best rated accommodations
Option 5 – Where to stay near Seljalandsfoss
Where is Seljalandsfoss
Seljalandsfoss is at the beginning of the Icelandic South Coast. It is one of the most iconic places to stop: a waterfall where you can walk behind (in Summer)!
- Reykjavík to Seljalandsfoss = 1h40 drive
- Selfoss to Seljalandsfoss = 1h drive
- Vik to Seljalandsfoss = 50min drive
Learn more about visiting the waterfall in Summer or in Winter.
Why stay around Seljalandsfoss
It is a practical place to stay at the beginning of your road trip on the South Coast, or between the Golden Circle and the South.
Plus that gives easy access to visit the waterfall once all the crowds of the day have left.
Plus it is a great place to admire sunset (or the midnight sun in June).
And you can stay away from light sources and have a chance to see the northern lights, the stars and just enjoy nature a little more.
However…
It is not central to the South coast. You are still a 3h15 drive to Jokulsarlon for example. So it cannot be a base for exploring the region.
Better as a stop along the way.
Seljalandsfoss in Winter
Hotels near Seljalandsfoss
- Hotel Selja
Expansive views with peaceful environment. Lots of light, what more could you need?
– see photos and availability – and book! - Boutique Hotel Anna
Closer to the cliffs, with hot tubes and a more rustic decor
– see photos and availability – and book!
Other accommodations near Seljalandsfoss
- Bru Guesthouse
Cabins with all the facilities and great views
– see photos and availability – and book! - Seljalandsfoss Horizons
beautiful “villa” huts not far from the waterfall
– see photos and availability – and book! - Ásólfsskáli Cottage
Farmstay to get get closer to the nature
– see photos and availability – and book! - Paradise Cave Hostels
great location close to the waterfall (note: share accommodations, shared bathrooms)
– see photos and availability – and book!
Option 6 – Where to stay in Selfoss (transition from Golden Circle)
Where is Selfoss
Selfoss is right at the beginning of the Icelandic South Coast.
- Reykjavik to Selfoss = 1h
- Thingvellir to Selfoss = 50min
- Vik to Selfoss to Vik = 1h40
- Selfoss to Seljalandsfoss = 1h
Note: careful, there is a waterfall also called Selfoss, but it is located in North Iceland near Dettifoss.
Why stay in Selfoss
It is a very central position to transition from the Golden Circle attractions to the South Coast attractions.
It is a larger town with a good choice of accommodations and restaurants.
Easy to access along the main road (Road 1).
However…
It is far less central the South Coast.
You still have one hour drive to Seljalandsfoss and 4h drive to Jokulsarlon.
It is a great stop between the Golden circle and the South Coast, but not a great base to explore the South coast.
If you are looking for nature and quiet, this is one of the least interesting area in Iceland.
Hotels in Selfoss
- Hotel South Coast
in the city on the main road with modern bedrooms
– see photos and availability – and book! - Hotel Selfoss
by the river, with modern and spacious rooms and a good restaurants
– see photos and availability – and book! - 360 Hotel & Thermal Baths
10 min outside of town, rooms with beautiful decors, spas and more natural views
– see photos and availability – and book!
Other accommodations in Selfoss
- River Apartments
Spacious accommodations by the river
– see photos and availability – and book! - BSG Apartments
2 apartments including a large one that can sleep 6 people, in the city center
– see photos and availability – and book!
–> Otherwise check out the best rated accommodations in Selfoss
Staying in Reykjavik
It is not possible to visit the entire South Coast of Iceland within a day trip from Reykjavik.
Jokulsarlon is 4h30 away from Reykjavik.
However you can easily explore the first half of the coast on a day trip from Reykiavik.
There is a wide range of places to stay in the capital city – Choose among the best rated accommodations in Reykjavik
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FAQs
Camping in South Iceland
Since 2013, the law has changed and conditions to wild camp are complicated. You must understand ownership of lands.
Iceland has many campsites around the country offering you cheaper accommodation (over 200) – if you stay quite a while, consider the Camping Card giving you access to a network of campsites.
For example on the South Coast:
- Vik Campsite
- Svinafell Campground (near Skaftafell)
- Skaftafell Camping to the west
- Camping Höfn to the east
Want to see more of the best Iceland has to offer?
- All my favorite things to do in North Iceland – read article
- Tips to plan your Iceland road trip – read article
- Tips to rent a car in Iceland – read article
- Tips to drive around Iceland – read article
- Itinerary suggestions – read article
- 45 Most beautiful landscapes in Iceland in pictures – read article
- The best stops on the Ring Road – read article
- The best locations off the beaten path around Iceland – read article
- 21 Most beautiful waterfalls in Iceland – read article
- Top 5 places to see around Myvatn – read article
- 5 best Lava Fields in Iceland – read article
- The 10 best lava caves in Iceland – read article
- The 5 most beautiful black sand beaches in Iceland – read article
- The Golden Circle – read article
- The Snaefellsnes peninsula – read article
Planning a trip to Iceland?
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