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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+
Our top picks Lowest price first Star rating and price Top reviewed

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Paradise Cave Hostel & Guesthouse

Hvolsvöllur

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 space for guests. The location is great,the dinner is very delicious

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9.1
Superb
1,516 reviews
Price from
₪ 190
per night

Midgard Base Camp

Hvolsvöllur

Midgard Base Camp features a garden, shared lounge, a terrace and restaurant in Hvolsvöllur. A hot tub and a bicycle rental service are available for guests. Providing free WiFi throughout the property, the non-smoking hostel has a sauna and evening entertainment. Everything was great! From staffs- very friendly and accomodating, the room itself - is very clean. We took the 6 bed for me and my friends, space is enough to accomodate our stuffs too. Clean facilities including the shared toilet and the SPA :)

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9.2
Superb
1,959 reviews
Price from
₪ 168
per night

Geysir Hestar

Haukadalur

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. Great place to stay. Unique interior design, beautiful sunset view

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9.2
Superb
591 reviews
Price from
₪ 349
per night

Valkyrie Guesthouse - 1km from SELJALANDSFOSS

Hvolsvöllur

Set in Hvolsvöllur, 2 km from Seljalandsfoss, Valkyrie Guesthouse - 1km from SELJALANDSFOSS offers accommodation with a garden, free private parking, a shared lounge and a terrace. The hostel has a hot tub and a shared kitchen. Host was very responsive and helpful. I really appreciate her being kind and trying to help me. I had a great stay!

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9.7
Exceptional
43 reviews
Price from
₪ 397
per night

The Barn

Vík

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. They kindly accepted to change our dates due to a flight cancellation, so last minute our plans changed but they understood and helped us. The room was super cozy with nice wooden smell. the views are good so is perfect place to enjoy and don’t spend too much money

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8.7
Fabulous
5,523 reviews
Price from
₪ 325
per night

Hvoll Hostel

Kirkjubæjarklaustur

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 . Kitchen facilities r r excellent

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8.1
Very good
2,864 reviews
Price from
₪ 474
per night

Bakki Apartments & Hostel

Eyrarbakki

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. Close to the seaside, beautiful scenery, well-equipped facilities.

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8.8
Fabulous
2,270 reviews
Price from
₪ 191
per night

Skyrhusid HI Hostel

Hali

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

Guest rooms at Skyrhusid HI Hostel have an in-room wash basin. All have access to shared bathroom facilities. Bed linen and towels are included. - they have all you need - they have welcome treats, the cake is good! - they have many free food in the pantry - nice staff - good ambiance and clean - all the places, rooms, bathrooms, lobby smells so good - name it and they have it - near in restaurant - nice view, the village is in front of beautiful mountain it gives you peaceful vibes - it's beyond my expectations given the cheap price

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8.9
Fabulous
2,013 reviews
Price from
₪ 599
per night

Héradsskólinn Historic Guesthouse

Laugarvatn

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 staff was amazing. They were prompt, clear, and served with kindness. The building itself was interesting, with antiques everywhere. It was a fun place to stay.

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8.4
Very good
1,333 reviews
Price from
₪ 393
per night

Höfn Hostel

Höfn

Overlooking Höfn harbour and with views towards the Vatnajökull Glacier, this hostel features a guest kitchen and laundry facilities. The staff can help arrange glacier tours and well as boat and snowmobile trips. I was a bit skeptical to go in a hostel but I must say this could be classified as a 5 star hostel. Kitchen was very big with lots of equipment, the living and eating area was also super big and modern, with very nice furniture. Staff was also very nice and polite.

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8.8
Fabulous
2,104 reviews
Price from
₪ 188
per night

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