Reykjavik might seem a bit out of the way, but it’s a gorgeous place to visit. Although the city itself isn’t too exciting, it serves as the gateway to Iceland’s breathtaking natural beauty. However, Reykjavik is one of the more expensive places to visit in Europe, so you may not want to stay too long if you’re on a tight budget.
One way to possibly save a little cash is to fly Icelandair because they’ll let you extend your layover in Reykjavik by up to seven nights for no additional charge.
This article is part of our City Price Guide Series — Click here to see all our city price guides.
Average Daily Cost To Visit Reykjavik
These prices are based on what you’ll need to visit the city comfortably — they don’t include things like big nights out at the bar/pub, club entry fees, souvenir/clothing shopping, tours, random purchases, nicer food, bail money, etc. Don’t forget to budget extra for those “non-essentials.”
Note: The currency in Iceland is the Icelandic Krona, but we’ve given all prices in USD. The current exchange rate is about $1=122 krona.
Daily Cost of Budget Travel in Reykjavik: $102
- Attractions: $10 (one paid attraction + any free sights)
- Food: $42
- Breakfast: $7
- Lunch: $10
- Dinner: $18
- Treat (dessert/beer/wine): $7
- Transportation: $0
- Accommodation (hostel): $50
Note: This price guide does not include tours which can easily run $100+
Daily Cost of Frugal Travel in Reykjavik: $66
- Attractions: $5 (free walking tour + visit one of the free sights)
- Food: $26
- Breakfast:$0 (free hostel breakfast)
- Lunch: $7 (ethnic street food, takeaway shop fare, or similar)
- Dinner: $12 (make your own meal in the hostel or grab something cheap)
- Beer (pint): $7
- Transportation: $0 (the city is very walkable)
- Accommodation: $35 (cheap hostel bed)
Note: This price guide does not include tours which can easily run $100+
Reykjavik Attraction and Museum Prices
Iceland’s true attraction is its incredibly stunning natural wonders, but visiting can get pretty pricey.
- National Museum of Iceland: $16
- Hallgrimskirkja (church): $8 to take the elevator to the top
- Open-air Folk Museum: $14
- Volcano House: Free
- Walking tour: Free (but you should tip the guides)
- Sightseeing Tours: There are a ton of tours available that will take you to all the amazing sights in Iceland. Full day-trips can range from $70-$375, depending on the activity. You will also find a lot of tours that combine a couple activities.
- Glacier hiking: $147-$200
- Blue lagoon: $75-$110
- Golden Circle: $80
- Viking horse tour (you ride to somewhere cool): $80-$154
- South coast: $154-$290
- Northern lights cruise (Sept to mid-April): $63-$86
Reykjavik Food Prices
Yep, once again, Reykjavik is out to batter your wallet when it comes to food. You really have to shop around to find something in the realm of affordability. For whatever reason, Reykjavik is famous for their hot dogs so that’s always a nice budget-friendly option.
Oh, and you’ll want to cut back on the alcohol because Reykjavik’s alcohol prices are some of the highest in the world. Ugg. Read more of our strategies for Eating and Drinking in Europe on a Budget.
Budget Breakfast: Free – $12
- Many hostels will offer a free simple breakfast that normally consists of cereal, bread/croissant, and maybe milk, coffee, tea, or juice (some hostels will offer more and some less).
- Porridge: $10
- Yogurt w/muesli and fruit: $8
- Toasted bread w/cheese and jam: $5-$9
Budget-Friendly Breakfast Spots
- Braud & Co: Can’t-miss bakery. Get the cinnamon rolls.
- Bernhoftsbakari: Another great bakery with lots of goodies (and coffee).
- Cafe Babalu: Cute cafe with crepes, desserts, coffee, and a few other dishes.
- Cafe Haiti: They take their coffee seriously. And their breakfast dishes are tasty. Try the pecan pie.
- Kaffitar: Another nice coffee and pastry shop.
- Reykjavik Roasters: More coffee.
Budget Lunch: $5-$20
- Super budget travelers can make a super cheap lunch of bread, cheese, and fruit from any grocery store for a few dollars.
- Hot dog: $5-$6
- Fast-food hamburger: $6-$13
- Fast-food sandwich: $6-$15
- Noodles: $8-$12.50
- Sandwich at a restaurant/café: $12-$19
- Cheap takeaway meals (like a kebab with fries): $10-$13.
Budget Dinner: $15-$25
- You should be able to find dinner at a restaurant in a less touristy part of town for around $18. Try some of the amazing seafood!
- Many of the options from the Budget Lunch section above also apply for dinner.
Budget-Friendly Lunch and Dinner Spots
- Baejarins Beztu Pylsur: The place to get hot dogs in Iceland. Two hot dogs (fully loaded) and a coke will be around $10.
- Hot Dog House: Another hot dog place. A standard hot dog and a soda will set you back about $6.50.
- Icelandic Street Food: This very unassuming spot serves up amazing traditional homecooked Icelandic fare. Super nice owners. Free refills. Try the lamb soup (around $11).
- Fish&Co: Food truck that serves up a single dish of fresh cod, spinach, and cherry tomatoes (around $13). Very tasty.
- Svarta Kaffid: Tasty soups served in bread bowls (around $16).
- Reykjavik Chips: Fries and beer. Tons of sauces. What else could you want? Medium fries will cost around $9. Beer is around $7 during happy hour.
- Reykjavik Rost: Nice view of the harbor and a pretty good happy hour from 3 pm – 7 pm. Simple cafe menu of soups and sandwiches (most around $10).
- Hamborgarabulla Tomasar: Solid burger joint. Burger, fries, and soda combo meal will set you back around $15.
- Ramen Momo: The place for ramen (starts around $15).
- The Deli: Cheap but tasty takeaway pizza. Two slices for $7.50.
- Hlöllabátar: Sub sandwich spot. Prices range around $9-$13 for a sub.
- Noodle Station: Tasty Pho at fair prices. A meal will set you back about $15.
Drinks and Alcohol
- A pint of standard beer out: $9-$12
- A pint of beer from a grocery store: $4-$5
- Cappuccino: $3.50
Tip: The best way to save money on alcohol is by drinking during happy hour. Check out the Reykjavík Appy Hour to always know when and where to go.
Reykjavik Transportation Prices
Reykjavik has a fairly nice bus system that will help you get around the city and even out to some other locations. Buses come every 20 minutes during the week and every 30 minutes on the weekend. A one-way ticket costs $3.60.
If you’re with a few people, you might look into renting a Jeep/SUV. This will give you more freedom than the bus and save you a bit on booking tours. It won’t come cheap though; expect to spend $150-$300/day. If you book for a week, the prices tend to be lower.
Reykjavik Hostel/Hotel Accommodation Prices
You’re always going to pay a premium for accommodation in Reykjavik. Prices do get cheaper in the middle of winter but there is a reason not many people travel to Iceland in the dead of winter.
Hostels: $40-$80+ (bed in a shared dorm room)
You should budget about $50/night per person for a decent hostel — although many hostels raise their prices on the weekend. Remember, these prices are for bed in a shared dorm room. If you want a private room, expect to pay anywhere from $100-$200+… so it’s not cheap. Check out the latest hostel prices at Hostelworld since prices are always fluctuating.
The Top-Rated Hostels in Reykjavik
- Hlemmur Square
- KEX Hostel
- Reykjavik – Loft HI Hostel
- Reykjavik City HI Hostel
- Reykjavik Downtown HI Hostel
Budget Hotels: $110-$240
At the low end, you shouldn’t expect much, but hotels do get better once you get around $150/night. A room with a private bathroom and a twin bed will be around $110–$230, and a double bed (or two twin beds) will be $140-$240.
Looking for a budget hotel? We suggest checking out Booking.com to see hotel prices for your dates since they’re always changing based on demand, time of year, etc.
Rental Apartment: $110-$220+
Reykjavik has quite a few vacation rental apartments but they’re not super cheap. These rentals can be a good option for large groups or travelers who want a little more space (and a kitchen). On the other hand, there are a few downsides to rental apartments — like limited/inconvenient check-in processes and extra cleaning fees/service charges (which can make short-stays quite a bit more expensive). For short stays, we prefer hotels/hostels but rental apartments can be a nice option for longer stays.
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Thanks For Reading! — James