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The 10 Best South Iceland Boutique Hotels – Design Hotels in South Iceland, Iceland

Check out our pick of great boutique hotels 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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Hótel Lækur

Hella

The family-owned Hótel Lækur is set on an Icelandic horse farm, between the Golden Circle and the south coast. Hella is 10 minutes’ drive away. It offers a sun terrace and a guest lounge.

The bright, modern rooms feature wooden floors and private bathrooms. Some include either a terrace or balcony. The surrounding views take in the Hekla and Eyjafjallajökull volcanoes. beautiful remote countryside. scenery was gorgeous. room was well appointed. manager even did a wake up call before midnight if northern lights were spotted!

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9
Superb
1,072 reviews
Price from
£145
per night

Old Airline Guesthouse

Höfn

Located by the harbour in Höfn village, Oldairline Guesthouse offers a shared kitchen/lounge, plus free WiFi and parking. Jökulsárlón glacier lagoon is a 1-hour drive away.

Featuring modern décor and a flat-screen TV, all rooms at Oldairline have access to 2 shared bathrooms with free toiletries. Great base to explore Hofn and the surrounding area from. Great facilities. Ideal if you want to self cater. Staying here again for 4 nights in November with 2 different photography workshop groups. Highly recommended.

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9.1
Superb
397 reviews
Price from
£91
per night

Mengi Countryside

Kjarnholt

At Mengi Countryside, you can enjoy mountain views from your room. Modern Nordic design and décor are featured throughout the property. Bathroom facilities are shared, and a guest lounge is also available. I liked the location, the concept of the place, and the host.

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9.4
Superb
204 reviews
Price from
£116
per night

Kósý Vík

Vík

The Kósý Vík homestay offers bright and modern rooms with free WiFi access. The centre of Vik is just 4 minutes' walk away. The property offers free parking.

At Kósý Vík, each room includes a desk, a coffee machine and bathroom with free toiletries. Guests have their own entrance to the property. If breakfast is ordered, please note that it is served in a basket to the room. Excellent breakfast option served in a picnic basket!

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9.3
Superb
220 reviews
Price from
£119
per night

Thoristun Apartments

Selfoss

Located in central Selfoss, these self-catering apartments include a well-equipped kitchen and free WiFi access. Thingvellir National Park is a 30-minute drive away.

A seating area and flat-screen TV feature in all apartments at Thoristun Apartments. Each apartment has a bathroom with shower. Some have a private terrace. Very nice apartment, warm and cosy, well equipped - we found everything we needed and more. Easy check-in and check-out.

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9.4
Superb
852 reviews
Price from
£131
per night

Grand Guesthouse Gardakot

Gardakot

This tastefully appointed, family-run guest house, 13 km from Vík, is surrounded by the Mýrdalsjökull Glacier and Atlantic Ocean. It features free Wi-Fi, a fully equipped guest kitchen and living room. Loved location. Easy if check in and responsiveness of staff

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9.5
Exceptional
741 reviews

Guesthouse Dyngja

Höfn

Guesthouse Dyngja is located in Höfn and offers a terrace. This bed and breakfast provides free private parking, a shared kitchen and free WiFi. Featuring family rooms, this property also provides guests with a picnic area. The kitchen is fully equipped and the room is comfortable.

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9
Superb
797 reviews
Price from
£81
per night

Hotel Rangá 4 stars

Hella

Featuring a stargazing observatory on site, this luxury hotel is in an idyllic remote location next to the Rangá salmon river in Hella. The hotel offers wake-up calls for when the Northern Lights appear and turns off all lighting for the viewing experience. Guests can also enjoy outdoor hot tubs and free WiFi. We loved this hotel! The wake up call for the Auora was the only reason we saw the northern lights, the astronomy and telescopes were awesome, the staff were great and the food was delicious. We would totally go back!

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9
Superb
450 reviews
Price from
£359
per night

Milk Factory

Höfn

Offering views of Vatnajökull glacier, this former milk factory offers accommodation in Höfn and is just 4 km from the town centre. Free WiFi and private parking is available on site.

The rooms have simple decor and come with a TV. Certain rooms have views of the mountain or garden. All rooms are equipped with a private bathroom. The breakfast is basic but good. Room is clean and spacious for single also have a nice view.

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8.9
Fabulous
2,163 reviews
Price from
£126
per night

Fosshotel Glacier Lagoon 4 stars

Hnappavellir

Fosshotel Glacier Lagoon offers luxurious accommodation in Hnappavellir. Guests can enjoy the on-site restaurant and hotel bar. Fjallsárlón lagoon is 20 km from the hotel and the glacier lagoon Jökulsárlón and the diamond beach are 29 km away from the hotel. Free WiFi access is available throughout the hotel. On-site parking is free. Beautiful location. Excellent food.

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8.8
Fabulous
4,097 reviews
Price from
£201
per night

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