Hostels in Capital Region, Iceland
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Highest Rated
99+
Hotel near Miðborg,Reykjavik
With a stay at KEX Hotel and Hostel Reykjavik, you'll be centrally located in Reykjavik, just a 4-minute walk from Laugavegur and 9 minutes by foot from Hallgrimskirkja. This hostel is 0.5 mi (0.9 km) from Harpa and 1 mi (1.6 km) from Reykjavik Harbour.
Make use of convenient amenities such as complimentary wireless internet access, concierge services, and gift shops/newsstands.
Wrap up your day with a drink at the bar/lounge. Buffet breakfasts are available daily from 7:00 AM to 11:00 AM for a fee.
Featured amenities include a 24-hour front desk, multilingual staff, and luggage storage.
Make yourself at home in one of the 43 individually decorated guestrooms, featuring refrigerators and microwaves. Prepare your meals in the shared/communal kitchen. Complimentary wireless internet access is available to keep you connected. Conveniences include blackout drapes/curtains, and housekeeping is provided on request.
"Hands down the best hostel in Iceland! The common areas are incredibly clean, and the private bathrooms with showers are a huge plus. It's super warm inside – almost too warm! The bedding is really soft, and the kitchen is fully equipped for cooking."
Very Good
341 reviews
8.6/10
1 night
From US$58
52
Hotel near Miðborg,Reykjavik
With a stay at Hostel B47, you'll be centrally located in Reykjavik, steps from Sundhollin and within a 5-minute walk of Hallgrimskirkja. This hostel is 0.2 mi (0.4 km) from Laugavegur and 1.1 mi (1.8 km) from Harpa.
Take in the views from a garden and make use of amenities such as complimentary wireless internet access and a communal living room.
Featured amenities include express check-out, multilingual staff, and luggage storage. Free self parking is available onsite.
Make yourself at home in one of the 57 guestrooms. Prepare your meals in the shared/communal kitchen. Bathrooms with showers are provided. Conveniences include blackout drapes/curtains, and housekeeping is provided daily.
"Fantastic location. We stayed for three nights, they provide towels, bath shampoo and hangers in room. There are side table and chairs. The common kitchen is well equipped and there are so clean. Some traveller bought food to prepare breakfast and dinner. It's so convinient to walk to city.
Recommend for team building and school camp."
Very Good
80 reviews
8.5/10
1 night
From US$85
53
Hotel near Laugardalur,Reykjavik
Located in Reykjavik (Laugardalur), Lækur Hostel is within a 10-minute walk of Laugardalslaug Geothermal Pool and Sigurjon Olafsson Museum. This hostel is 0.8 mi (1.3 km) from Laugavegur and 1.7 mi (2.7 km) from Harpa.
Take in the views from a terrace and make use of amenities such as complimentary wireless internet access and bike parking.
Stop by the hostel's restaurant for lunch or dinner, or grab snacks at the coffee shop/cafe. Wrap up your day with a drink at the bar/lounge.
Featured amenities include express check-out, complimentary newspapers in the lobby, and luggage storage. A roundtrip airport shuttle is provided for a surcharge (available 24 hours), and free self parking is available onsite.
Make yourself at home in one of the 10 guestrooms. Complimentary wireless internet access is available to keep you connected. Bathrooms with showers are provided.
"I personally feel that if you're planning to visit nearby attractions, you might want to reconsider staying here. It's quite a long walk to get anywhere, and while there are buses, they don't go to every destination. I chose this place mainly because of the cheap price and the fact that it was on the first floor (my luggage was very heavy), but I didn't realize it was so far from the sights. Self check-in is very convenient, and there's a place downstairs where you can cook and eat. The bathrooms are all quite small. It takes some time to adjust the hot and cold water, otherwise you might accidentally scald yourself. Plus, there are no hooks, so I had to put my clothes on the floor. I wouldn't recommend showering here if you're a larger person. Also, if you're a light sleeper, you should think twice, as it's right next to the road and cars pass by all night, making it very noisy. If you can tolerate all of these things and the price fits your budget, then it's still an option."
Very Good
48 reviews
8.1/10
1 night
From US$64
99+
Hotel near Miðborg,Reykjavik
Welcome to Nordic Hostel, a modern and friendly hostel in the heart of Reykjavík. Our central location puts you within walking distance of the city's top attractions, restaurants, cafés, bars, museums, and the main shopping street, making it the perfect base for exploring Iceland's capital.
We offer comfortable dormitories and private rooms designed for solo travelers, couples, families, and groups. Guests enjoy free high-speed Wi-Fi, spacious common areas, a fully equipped shared kitchen, luggage storage, self check-in, and clean, modern facilities.
Relax and meet fellow travelers at Snorra Bar, our on-site bar, where you can enjoy local beers, cocktails, happy hour specials, and regular social events. Our friendly team is always happy to help with travel advice, tours, and recommendations to make the most of your stay.
Whether you're visiting Reykjavík for adventure, sightseeing, or the Northern Lights, Nordic Hostel offers outstanding value, comfort, and a welcoming atmosphere in one of the city's best locations.
"I want to give an objective review of this hostel.
First, the pros:
1. The price is excellent. I stayed for five nights for just over 2000 [currency, e.g., ISK], which is very reasonable considering the prices in Iceland.
2. The communal kitchen and bar are very spacious and bright, making cooking very convenient.
3. The location is central; it's easy to walk anywhere within 15 minutes, and there are bus stops nearby.
4. The hostel has a minimalist, modern design, and the facilities are relatively new. The individual bed curtains provide great privacy.
Now, a few areas for improvement:
1. There are a bit too few restrooms and showers, so sometimes you have to wait in line.
2. I really hope they could provide a female-only dorm, even if it's a multi-person room. My bed this time was near the door, and people were constantly coming and going in the middle of the night. Two guys snored loudly, which was incredibly disruptive, and the air quality also deteriorated. I was woken up three times in one night – it was a nightmare.
3. It would be good to separate the male and female bathrooms/showers. Having them mixed is indeed a bit unhygienic."
Great
21 reviews
9.2/10
1 night
From US$98
40
Hotel near Reykjavik East,Reykjavik
Bus Hostel Reykjavik - Reykjavik Terminal has been recently fully renovated and it's located above Reykjavik Terminal.
Most popular transfers and tours start and arrive at Bus Hostel / Reykjavik Terminal with no additional cost, that's super convenient!!
Bus Hostel / Reykjavik Terminal is the capital's tourism transportation hub, connecting the city to Keflavík International Airport, Blue Lagoon, and Sky Lagoon as well as the most popular day tours!
Bus Hostel / Reykjavik Terminal houses Airport Direct, the official transport partner for Keflavík International Airport. Transfers to and from Keflavík Airport run 24/7, every day, all year round, meeting every departing and incoming flight. Destination Blue Lagoon, the official transport partner of the world-famous spa, operates their transfers directly from Bus Hostel / Reykjavik Terminal, connecting travelers with the Blue Lagoon from both Reykjavík City and Keflavík Airport. Transfers run every day, all year round, and follow the seasonal opening times of the Blue Lagoon. Reykjavik Sightseeing and Gray Line, one of Iceland's leading day tour companies are also operating their tours from Bus Hostel / Reykjavik Terminal. You can book your next adventure from the most popular Golden Circle tour to the fantastic adventures South and West Iceland has to offer from Bus Hostel Reykjavik - Reykjavik Terminal Reception at no extra cost, including northern lights tours, glacier excursions, Sky lagoon transportation, and many more. SmartBus operates shuttle connections to Bus Hostel / Reykjavik Terminal for pick up and drop off services to and from all main hotels and guesthouses in central Reykjavik. Bus Hostel Reykjavik -
Reykjavik Terminal offers a selection of local beers on tap, sports events, board games, private accommodations, and shared dorms. Bus Hostel Reykjavik - Reykjavik Terminal is the perfect place to sit down with fellow travelers, meet new people, and get local travel advice from our staff. We are the connection to your next adventure! With Free WiFi access, Bus Hostel Reykjavik - Reykjavik Terminal is 700 meters from Perlan Museum - Wonders of Iceland and the Saga Museum.
Facilities include one shared kitchen, shared bathroom facilities, and two patio access. We offer private rooms and note that all rooms include secure lockers. Bed linen and bed covers included. Bar and a lounge on-site. The 24-hour front desk assistance is available every day.
Laugavegur shopping street and Reykjavík Art Museum - Kjarvalsstadir are within 17 minute's walk. Nauthólsvík Geothermal Beach is 2 km away and Reykjavík Domestic Airport is only 750 metres from Bus Hostel Reykjavik - Reykjavik Terminal. Keflavík International.
The airport is 37 km away but we are well connected with the transfers mentioned above.
What are you waiting for? Come visit us and we will be happy to be welcoming you to Bus Hostel Reykjavik - Reykjavik Terminal!
"I had a fantastic stay at Bus Hostel Reykjavik! The atmosphere was welcoming, but what truly stood out was the incredible staff. They were consistently friendly, helpful, and went above and beyond to make my trip easy.
A huge highlight was their flexibility with my travel schedule. Even though I checked out at 10:00 AM, they graciously allowed me to hang out in the common areas until my 6:30 PM flight. This made my final day in Iceland stress-free and much more comfortable. Highly recommended for any traveler looking for great service and a hospitable vibe!"
Very Good
126 reviews
8.4/10
1 night
From US$41
66
Hotel near Laugardalur,Reykjavik
Located in Reykjavik (Laugardalur), B14 Hostel is within a 5-minute drive of Laugavegur and Laugardalslaug Geothermal Pool. This hostel is 2.5 mi (4 km) from Perlan and 2.7 mi (4.4 km) from Hallgrimskirkja.
Take in the views from a terrace and make use of amenities such as complimentary wireless internet access and a banquet hall.
At B14 Hostel, enjoy a satisfying meal at the restaurant.
Featured amenities include express check-in, express check-out, and luggage storage.
Make yourself at home in one of the 5 air-conditioned rooms featuring microwaves. Prepare your meals in the shared/communal kitchen. Complimentary wireless internet access is available to keep you connected. Bathrooms have showers and complimentary toiletries.
"The staff of the Hostel are very responsible to solve problems for the guests. There are washing machines and dryers, and the charges are reasonable. ISK2000 is cheaper than some hostels, but the location is a bit far away from the city, and it may be inconvenient for those without a car. There is a very comfortable common area. There is also a hairdryer in the common area, so you don't have to worry about making noise to other guests at night."
Very Good
29 reviews
8.4/10
1 night
From US$56
76
Hotel near Hafnarfjarðarkaupstaður,Hafnarfjordur
With a stay at Hostel Fjordur in Hafnarfjordur, you'll be within a 15-minute drive of Sky Lagoon and Hallgrimskirkja. This hostel is 8.6 mi (13.8 km) from Reykjavik Harbour and 7.8 mi (12.6 km) from Laugavegur.
This hostel offers designated smoking areas.
Free self parking is available onsite.
Make yourself at home in one of the 25 guestrooms featuring refrigerators and microwaves. Complimentary wireless internet access is available to keep you connected. Bathrooms feature showers with rainfall showerheads.
Very Good
5 reviews
8.2/10
1 night
From US$106
99+
Hotel near Vesturbær,Reykjavik
A stay at Refurinn Reykjavik Guesthouse - Hostel places you in the heart of Reykjavik, within a 10-minute walk of Reykjavik Harbour and Laugavegur. This hostel is 0.3 mi (0.5 km) from Reykjavik City Hall and 0.7 mi (1.1 km) from Harpa.
Take in the views from a terrace and make use of amenities such as complimentary wireless internet access and tour/ticket assistance.
Featured amenities include a computer station, express check-in, and express check-out.
Make yourself at home in one of the 9 guestrooms featuring microwaves. Prepare your meals in the shared/communal kitchen. Complimentary wireless internet access is available to keep you connected. Bathrooms have showers and hair dryers.
"I didn't make a reservation personally, but I couldn't get an email from the owner, who said self-check-in, and after another guest opened the door, I called the owner and went in. Open the part with the room number attached to each room and press the off-time key. When you check out, you can leave it in it. The entrance is not the front door, but the second floor of the next staircase. The underground luggage storage room is You have to go back to the building, not next to it.
It was nice to be close to the city center and the museums"
Very Good
20 reviews
8.5/10
1 night
From US$170
Travelers Reviews of Capital Region Hotels
See all
Kex Hostel
8,6/10
Very Good
Posted on Feb 28, 2026
Xiangxianging
Hands down the best hostel in Iceland! The common areas are incredibly clean, and the private bathrooms with showers are a huge plus. It's super warm inside – almost too warm! The bedding is really soft, and the kitchen is fully equipped for cooking.
Price per night from:US$58
CityHub Reykjavik
9,4/10
Amazing
Posted on Jun 22, 2026
Guest User
This large bed room, with its shared bathroom setup, felt quite private. The bedding was decent, and the bathroom was clean and not heavily used. Overall, it had a Japanese capsule hotel vibe. The best part was the communal area on the first floor, offering free paper bowls, cutlery, and hot water – super convenient for making instant noodles without having to buy cup noodles. The only downside was that the price was a bit higher than your average hostel.
Price per night from:US$120
Bus Hostel Reykjavik - Reykjavik Terminal
8,4/10
Very Good
Posted on Mar 19, 2026|Comfort Shared Dormitory (Bed In 10-Bed Dormitory Room)
Guest User
I had a fantastic stay at Bus Hostel Reykjavik! The atmosphere was welcoming, but what truly stood out was the incredible staff. They were consistently friendly, helpful, and went above and beyond to make my trip easy.
A huge highlight was their flexibility with my travel schedule. Even though I checked out at 10:00 AM, they graciously allowed me to hang out in the common areas until my 6:30 PM flight. This made my final day in Iceland stress-free and much more comfortable. Highly recommended for any traveler looking for great service and a hospitable vibe!
Price per night from:US$41
Hostel B47
8,5/10
Very Good
Posted on Jul 19, 2025
TingZip
Fantastic location. We stayed for three nights, they provide towels, bath shampoo and hangers in room. There are side table and chairs. The common kitchen is well equipped and there are so clean. Some traveller bought food to prepare breakfast and dinner. It's so convinient to walk to city.
Recommend for team building and school camp.
Price per night from:US$85
B14 Hostel
8,4/10
Very Good
Posted on Aug 28, 2023
Motauu
The staff of the Hostel are very responsible to solve problems for the guests. There are washing machines and dryers, and the charges are reasonable. ISK2000 is cheaper than some hostels, but the location is a bit far away from the city, and it may be inconvenient for those without a car. There is a very comfortable common area. There is also a hairdryer in the common area, so you don't have to worry about making noise to other guests at night.
Price per night from:US$56
Refurinn Reykjavik Guesthouse
8,5/10
Very Good
Posted on Feb 12, 2023
Guest User
I didn't make a reservation personally, but I couldn't get an email from the owner, who said self-check-in, and after another guest opened the door, I called the owner and went in. Open the part with the room number attached to each room and press the off-time key. When you check out, you can leave it in it. The entrance is not the front door, but the second floor of the next staircase. The underground luggage storage room is You have to go back to the building, not next to it.
It was nice to be close to the city center and the museums
Price per night from:US$170
Nordic Hostel
9,2/10
Great
Posted on Mar 28, 2026
Anonymous User
I want to give an objective review of this hostel.
First, the pros:
1. The price is excellent. I stayed for five nights for just over 2000 [currency, e.g., ISK], which is very reasonable considering the prices in Iceland.
2. The communal kitchen and bar are very spacious and bright, making cooking very convenient.
3. The location is central; it's easy to walk anywhere within 15 minutes, and there are bus stops nearby.
4. The hostel has a minimalist, modern design, and the facilities are relatively new. The individual bed curtains provide great privacy.
Now, a few areas for improvement:
1. There are a bit too few restrooms and showers, so sometimes you have to wait in line.
2. I really hope they could provide a female-only dorm, even if it's a multi-person room. My bed this time was near the door, and people were constantly coming and going in the middle of the night. Two guys snored loudly, which was incredibly disruptive, and the air quality also deteriorated. I was woken up three times in one night – it was a nightmare.
3. It would be good to separate the male and female bathrooms/showers. Having them mixed is indeed a bit unhygienic.
Price per night from:US$98
Lækur Hostel
8,1/10
Very Good
Posted on Oct 19, 2025
Guest User
I personally feel that if you're planning to visit nearby attractions, you might want to reconsider staying here. It's quite a long walk to get anywhere, and while there are buses, they don't go to every destination. I chose this place mainly because of the cheap price and the fact that it was on the first floor (my luggage was very heavy), but I didn't realize it was so far from the sights. Self check-in is very convenient, and there's a place downstairs where you can cook and eat. The bathrooms are all quite small. It takes some time to adjust the hot and cold water, otherwise you might accidentally scald yourself. Plus, there are no hooks, so I had to put my clothes on the floor. I wouldn't recommend showering here if you're a larger person. Also, if you're a light sleeper, you should think twice, as it's right next to the road and cars pass by all night, making it very noisy. If you can tolerate all of these things and the price fits your budget, then it's still an option.
Price per night from:US$64
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Property Information for Tourists
| Total properties | 8 |
|---|---|
| Number of reviews | 1,009 |
| Weekday Avg. Price | US$147 |
| Weekend Avg. Price | US$174 |