35 EPIC Hostels in Iceland (2019 • Insider Guide!)

Whether you want to party, meet other travelers, or just sleep, our ultimate guide to the best hostels in Iceland shows you the best ways to save money in Iceland.

Interested? PIN NOW, read later!

Wow, Iceland. Wow. Just wow. Glaciers, mountains, lava fields, dramatic coastline, geothermal pools, and ample opportunity to get out in it – there’s a lot to pack in here. Oh and let’s not forget the ruddy Northern Lights!

But… it’s not exactly known for its backpacking scene. In fact, Iceland is known for being downright pricey! So you may think there’s not much in the way of budget accommodation here. So we’ve decided to sort it out for you and create this huge guide to the best 35 hostels in Iceland.

Thanks to this guide you’ll be able to find some places in Iceland outside the usual spots (*cough* staying in Reykjavik does not mean visiting the whole country *cough*). More than that you’ll have a handy guide for backpacking around this amazing island!

What are you waiting for? Let’s see what Iceland’s backpacker hostels have to offer.

 

Quick Answer – The Best Hostels in Iceland

HOSTEL DETAILS
tbb2-table__image Overall Best Hostel in IcelandOverall Best Hostel in IcelandKex Hostel

  • $$$
  • Events
  • Bicycle Hire
  • $$$
  • Events
  • Bicycle Hire
Check Best Price
tbb2-table__image Best Hostel for Solo Travellers in IcelandBest Hostel for Solo Travellers in IcelandReykjavik City HI Hostel

  • $$
  • Bicycle Hire
  • Free Parking
  • $$
  • Bicycle Hire
  • Free Parking
Check Best Price
tbb2-table__image Best Cheap Hostel in IcelandBest Cheap Hostel in IcelandBus Hostel

  • $
  • Communal Kitchen
  • Free Transport
  • $
  • Communal Kitchen
  • Free Transport
Check Best Price
tbb2-table__image Best Hostel for Couples in IcelandBest Hostel for Couples in IcelandBlue House B&B

  • $$$
  • Netflix/Apple TV
  • Free Breakfast
  • $$$
  • Netflix/Apple TV
  • Free Breakfast
Check Best Price
tbb2-table__image Best Party Hostel in IcelandBest Party Hostel in IcelandLoft HI-Hostel

  • $$
  • Rooftop Terrace
  • Activities
  • $$
  • Rooftop Terrace
  • Activities
Check Best Price
tbb2-table__image Best Hostel in Iceland for Digital NomadsBest Hostel in Iceland for Digital NomadsHlemmer Square

  • $$$
  • Bicycle Hire
  • Games Room
  • $$$
  • Bicycle Hire
  • Games Room
Check Best Price
tbb2-table__image Best Hostel in Iceland with Private RoomBest Hostel in Iceland with Private RoomThe Capital-Inn

  • $$
  • Restaurant
  • Self Catering Facilities
  • $$
  • Restaurant
  • Self Catering Facilities
Check Best Price

 

Best Hostels in Iceland

 

The 35 Best Hostels in Iceland

 

Overall Best Hostel in Iceland – Kex Hostel

Kex Hostel best hostels in Iceland

Kex Hostel is our pick for overall best hostel in Iceland

– $$$

– Events

– Bicycle Hire

– Bar

Well, well, well, if it isn’t the coolest hostel in Reykjavik. This place is called Kex ’cause it’s in a building that used to be an old biscuit factory (no jokes) which is a reason to stay at this place. It’s super cool and we love it, ok?

Packed full of minimalist Icelandic style, there’s a bunch of stuff on the doorstep that really helps make this the best overall hostel in Iceland. Bars, restaurants, museums, clubs, music venues, pretty much all of what’s cool in the capital. That’s if you can even bear to leave this uber cool Iceland hostel.

Check for Best Price

 

Start Hostel

Start Hostel best hostels in Iceland

– $$

– Free Breakfast

– 24 Hour Reception

– Laundry Facilities

START your trip in Iceland with a very conveniently located hostel. This top hostel in Keflavik is super close to the airport, meaning you’ll have no troubles arriving or leaving. But it’s more than just a top location, it’s one of the best hostels in Iceland.

It makes for a good base for exploring this area of Iceland. The staff here are super helpful and will give you recommendations about where to go and what to do. Rent a car and explore, that’s what we’d say. Can we also mention just how clean this place is – top marks for that.

Check for Best Price

 

Laekur Hostel

Laekur Hostel best hostels in Iceland

– $$$

– Cafe

– Outdoor Terrace

– Very Comfy Bed

Laekur means ‘stream’ in Icelandic, which makes sense ’cause there’s a geothermal one of these that runs right outside the hostel. It’s also super cool and comes equipped with a stylish cafe. Decked out in all the highlights of Nordic style, it’s a good place just to sit with a coffee.

This is one of the best hostels in Iceland not just because it’s basically a very cool cafe with beds on offer. It’s also a good place to stay because of the location – you can catch the bus from right outside and ride to whatever sick destination you plan to go. Beds are literally ultra comfy.

Check for Best Price

 

Borganes HI Hostel

Borganes HI Hostel best hostels in Iceland

– $$

– Free Tea/Coffee

– Bicycle Hire

– Laundry Facilities

It’s a Hostelling International hostel which means you’ll get cheaper rates if you’re a member – if you ain’t, too bad. It’s a good all round hostel in Borganes. The style isn’t exactly… um, cutting edge, but it’s simple and decent enough.

Easy to walk to catch a bus to see what’s in store in the surrounding area here. Other than that it’s a good base to get your washing done, have a few drinks in the hostel bar, and get cosy in the hostel bar. One of the best hostels in Iceland, sure, but not the coolest.

Check for Best Price

 

Akureyri HI-Hostel

Akureyri HI-Hostel best hostels in Iceland

– $$

– Wheelchair Friendly

– Outdoor Terrace

– Laundry Facilities

This is a mainstay of the Iceland hostel scene. Its doors have been open since 1967 and the same family has run it since then. And we think that’s pretty cool. Because of that, the atmosphere is pretty warm and welcoming.

The prestige of surviving that long as a hostel easily helps make it one of the best hostels in Iceland. There’s a good laundry service here, a decent kitchen so you can rustle up whatever you can cook, and the staff are super nice. Want good advice and instructions on how to get around? Stay here.

Check for Best Price

 

Best Hostel for Solo Travellers in Iceland – Reykjavik City HI Hostel

Reykjavik City HI Hostel best hostels in Iceland

Reykjavik City HI Hostel is our pick for best hostel for solo travellers in Iceland

– $$

– Bicycle Hire

– Free Parking

– Cafe

This top hostel in Reykjavik is smack bang in the middle of Laugardalur Park, which means it’s not very central (if you care for that). You can still get to the centre of town with a half an hour stroll, otherwise, it’s a 10 min bus ride.

Green is the name of the game here – they’re a certified eco hostel. So if that floats your boat you’ll probably love giving your money to these guys; the owners are friendly as well, making it one of the best hostels for solo travellers in Iceland. It’s a decent place to base yourself for checking out the Golden Circle.

Check for Best Price

 

Reykjavik Hostel Village

Reykjavik Hostel Village best hostels in Iceland

– $

– Pool Table

– Free Parking

– Luggage Storage

This is basically a big house with minimal interiors. It’s a little bit like a budget hotel in Reykjavik, but it’s got dorms. And a common room with a fireplace, which is something you’ll definitely love after coming in from a snowy day.

But what’s it got if you’re travelling by yourself? It’s a short walk from the bus station and the staff are super helpful. The atmosphere is friendly, too. It’s one of the best hostels for solo travellers in Iceland too, simply ’cause you can easily get to most of the attractions and stuff in town.

Check for Best Price

 

Tjarna Hotel

Tjarna Hotel best hostels in Iceland

– $$

– Free Breakfast

– 24 Hour Security

– Shuttle Service

Tjarna Hostel is pretty much an amazing hostel in Iceland for solo travellers. First off, the staff here are super cool. They’ll pick you up from the airport, no questions. That’s great by itself. On top of that, they’re pretty friendly, too.

The views of the sea are amazing here, so if you’re by yourself you can just stare whimsically out the window and, we dunno, write your diary or Skype your family to show them how cool this place is. As for cleanliness, there’s high standards here, and everything’s basically brand new.

Check for Best Price

 

Hostel Skogar

Hostel Skogar best hostels in Iceland

– $$

– AMAZING VIEWS (pack your camera!)

– Fireplace

– Cafe

This top hostel in Hvolsvollur has got all the feels when it comes to feeling like you belong somewhere. Isn’t that nice? It’s a great hostel for solo travellers in Iceland, one of the best, actually. So if you’re by yourself, this is possibly the best option NGL.

When you’re done gawping at the Skogarfoss waterfall and the Eyjafjal glacier from the gardens here, you can simply kick back next to the roaring fire in the hostel lounge and get chatting with everyone else staying here. Seriously though the scenery around here is literally incredible.

Check for Best Price

 

Laugarvatn Hostel

Laugarvatn Hostel best hostels in Iceland

– $

– Bar

– Communal Kitchen

– Laundry Facilities

You wanna go see the Thingvellir National Park? This youth hostel in Iceland is a great shout. And if you want to find a few mates before you go out exploring, the social atmosphere here is perfect for doing just that.

Staff arrange activities like fishing, hiking and sightseeing tours, which helps make it basically the best hostel for solo travellers in Iceland. Alongside the good vibes, you can grab a few drinks at the hostel bar. There’s a piano too – which is fun, we guess – and a pool table for extra LOLs. Friendly feels here.

Check on Booking.com     Check on HotelsCombined

 

Best Cheap Hostel in Iceland – Bus Hostel

Bus Hostel best hostels in Iceland

Bus Hostel is our pick for best cheap hostel in Iceland

– $

– Bar/Cafe

– Communal Kitchen

Free Transport

Totally unoriginal name, but being right near a hub for public transport we guess it makes sense. It’s super easy to get around Reykjavik from this place. Bonus: you get a free pass for the Smart Bus if you stay here.

And that’s just one of the things that makes the best cheap hostel in Reykjavik. The room rates are good value for money. Generally, it’s a pretty simple place to stay, but it’s a hostel, y’know. A good base if you wanna explore the capital city. Oh, and the onsite bar’s got local beers on tap (winner).

Check for Best Price

 

Galaxy Pod Hostel

Galaxy Pod Hostel best hostels in Iceland

– $

– Games Room

– Laundry Facilities

– Pods

Now this place is pretty weird. It literally looks like something from Alien. Maybe you’d like that. TBF it does make a change from normal old rickety bunk beds so… yeah. Pod style accommodation, if you hadn’t guessed from the name.

It’s one of the best cheap hostels in Iceland. Let’s run through the perks here: a bar, a vibey lounge, a movie room, and the pods themselves are actually pretty cool. They’re equipped with memory foam mattresses, alarm clocks, you can listen to music thanks to earphone jacks.

The downside is it’s not IN the action of town, but a 15 min walk away from bars.

Check for Best Price

 

Hafaldan HI Hostel

Hafaldan HI Hostel best hostels in Iceland

– $

– Lounge

– Great Views

– Free Parking

Um, ok, so this one’s actually in an old hospital building which sounds like the stuff of nightmares, let’s be honest. That said this is a pretty cosy place to stay. What makes it one of the best cheap hostels in Iceland though?

Well, the fully equipped kitchen is a start. Like, it’s impressive. The showers are decent. And, actually – really? The fact that it’s set in an old building is actually pretty cool. It may not be Scandinavian design or ultra minimalist, but we still reckon it’s one of the coolest hostels in Iceland.

Check for Best Price

 

Volcano Huts Thorsmork

Volcano Huts Thorsmork best hostels in Iceland

– $$

– Bar/Cafe

– Wi Fi (Surprisingly)

– Sauna

Literally located IN the Thorsmork Nature Reserve you couldn’t GET a better location for getting out into nature. Seriously, the Laugavegur Hiking Trail is right on your doorstep. For the money you’ll save on having to get public transport to hiking spots, this is easily one of the best cheap hostels in Iceland.

But… it is pretty remote. The only way to get there in the first place is by hiking there (or getting the mountain bus). However, if you’re all about finding an Iceland backpackers hostel in what’s basically the middle of nowhere, this is it. There’s a hot spring to wallow in here too. Oh and a sauna.

Check for Best Price

 

Puffin Hostel Vik

Puffin Hostel Vik best hostels in Iceland

– $

– Cute Name

– Beach Is Close

– Communal Kitchen

You wanna be near the beach? Well lucky you, this top hostel in Iceland is located right near Vik’s black sand beach. It might be a little bit basic (don’t expect cocktail hours and high-end dining), but it’s clean, cosy and surrounded by gobsmacking scenery.

History fans will love this one. It literally stretches back to the 1930s and claims to be the longest running hotel in the country. Amazing if so. Bold claim though. Pretty unique for one of the best cheap hostels in Iceland we reckon. Oh and there’s a kitchen to save coin on meals.

Check on Booking.com     Check on HotelsCombined

 

Best Hostel for Couples in Iceland – Blue House B&B

Blue House B and B best hostels in Iceland

Blue House B&B is our pick for best hostel for couples in Iceland

– $$$

– Netflix/Apple TV

– Free Breakfast

– Laundry Facilities

This house is blue. Would you have ever guessed that? It’s a bit of a bed and breakfast, sure, but it’s still got decent hostel vibes. You can get yourself a lil’ place here with your other half, cook your own meals, chill out, whatever.

There’s also a free breakfast, which is great. But what makes this literally the most amazing hostel for couples in Iceland is the fact that you can actually see the Northern Lights from your bedroom window! Seriously! What?! And all this just 5 mins from the beach. It’s on the remote Seltjarnarnes Peninsula.

Check for Best Price

 

Igdlo Guesthouse

Igdlo Guesthouse best hostels in Iceland

– $$$

– Luggage Storage

– Free Parking

– Self Catering Facilities

Couples! This one’s for you. Yep, it’s a top hostel in Reykjavik set in the cool downtown area. Can’t get better than that. It’s basically like staying in a big house full of loads of big rooms with beds in them. Wait, have we just described a hostel?

Anyway, it’s a nice family run place, there’s a good vibe for people to have a comfortable stay here. It’s one of the best hostels for couples in Iceland for couples mainly ’cause of that location. Bars, cafes, restaurants and a load of other stuff are… just there!

Check for Best Price

 

Gesthus Selfoss

Gesthus Selfoss best hostels in Iceland

– $$$

– Bar

– Jacuzzi

– Laundry Facilities

This is a cute lil’ place to stay in the south of Iceland. It may be pricey but it’s cool (and don’t forget, this is Iceland). As the best hostel for couples in Iceland, you’ll be able to get a pretty, pretty nice holiday home sorta room complete with its own private hot tub.

But you can also book a basic room here, which is less expensive. There’s a big communal area where you can get yourself a cuppa and have a chat with other peeps staying here, plus there’s a bar, so it’s not completely just a basic guesthouse. It’s chilled though – and good for a road trip.

Check on Booking.com     Check on HotelsCombined

 

Husavik Guesthouse

Husavik Guesthouse best hostels in Iceland

– $$

– Free Breakfast

– Activities

– Free Parking

It’s in the centre of Husavik which is pretty good since there’s a few places to eat and drink nearby. And couples love to eat out and stuff… right? The private rooms here are nice, but they’ve got shared bathrooms just in case you were missing those hostel discomforts.

The staff at this budget hostel in Husavik do well though. They put on events like walking tours and bar crawls. So it may be one of the best hostels for couples in Iceland, but don’t expect luxury or heaps of privacy. This is for fun-loving, non-fussy couples.

Check on Booking.com     Check on HotelsCombined

 

Base Hotel

Base Hotel best hostels in Iceland

– $$

– Bar

– Airport Transfer

– Luggage Storage

Really not trying to be funny here but this is genuinely a good base for couples if you wanna get out and explore the Reykjanes Peninsula, complete with a geothermal park (that’s where you find the Blue Lagoon BTW).

Since it’s one of the best hostels for couples in Iceland let’s run through a bit of what makes it so good. There’s a bar with a happy hour, retro arcade games to play (geek heaven), a TV lounge to hang out in, and the staff are really nice. Bonus: there’s a shuttle service to the airport.

Check for Best Price

 

Best Party Hostel in Iceland – Loft HI-Hostel

Loft HI-Hostel best hostels in Iceland

Loft HI-Hostel is our pick for best party hostel in Iceland

– $$

– Rooftop Terrace

– Activities

– Bar

This right here is one of the best party hostels in Iceland. It’s right in downtown Reykjavik so it’s V easy to just roll out of here into a few bars every night. But it ain’t just about the local area (though that is popping).

They put on loads of different events back at the hostel, including drag shows, but one of the best things about this Iceland backpackers hostel is the happy hour. It’s on for three hours. We call that a happy three hours. There’s also a rooftop terrace which is a cool place to chill.

Check for Best Price

 

Reykjavik Downtown HI Hostel

Reykjavik Downtown HI Hostel best hostels in Iceland

– $$

– Bicycle Hire

– Cafe

– No Curfew

Loaded with fun this place is basically all about its team. They definitely make sure everybody’s happy and having fun. Sure, it’s Iceland, it ain’t gonna be crunk central at this hostel but boasts good vibes and a decent locale (downtown, duh) next to bars and shiz.

So it is one of the best party hostels in Iceland, but don’t expect Thailand levels of partying. It’s too expensive to get absolutely wasted every night, anyway. As an aside we like that this place features a “mostly organic” breakfast buffet. If you’re a “mostly organic” sorta person, step on in.

Check for Best Price

 

Akureyri Backpackers

Akureyri Backpackers best hostels in Iceland

– $$

– Bar

– Laundry Facilities

– Tours & Travel Desk

Looking for lively? Well, this place is lively. The location here is poppin’ – coffee shops, restaurants, bars, all that stuff, right on the doorstep. Boom. But the hostel itself is actually where it’s at. There’s a bar which is the main thing that makes this one of the best party hostels in Iceland.

Well… not just the fact that it’s got a bar. It’s the atmosphere in the bar. Did we mention it was lively? So, yeah. It’s lively alright. And a good place to get chatting to other peeps too. It’s got all the fundamental hostel stuff too, shared kitchen and all that. A solid choice for partying.

Check for Best Price

 

Midgard Basecamp

Midgard Basecamp best hostels in Iceland

– $$

– Bar

– Restaurant

– Hot Tub

It sounds like something from a Nordic myth but it’s actually a hostel. Obviously. Midgard Basecamp is a cosy place to meet people and have a good time. It’s one of the best party hostels in Iceland, but don’t expect mad times.

Instead, you can expect to do things like, um, sit in the hot tub on the roof with your new mates and watch for the northern lights with a beer in hand. If that isn’t epic in itself then we really don’t know what is. The staff are a super friendly team who’ll make sure everything runs smoothly.

Check for Best Price

 

The Freezer Hostel

The Freezer Hostel best hostels in Iceland

– $$

– Bar

– Live Music

– Self Catering Facilities

So this is a pretty cool Iceland hostel. It also calls itself a Culture Center, but this sorta just means that it’s got a bar, it puts on live music and they have various game nights. And if that’s culture, then we’re definitely fans. It’s set inside an old fish processing factory. Yuk.

Easily one of the best party hostels in Iceland, we didn’t expect to find it in a small fishing village on the Snaefellsnes Peninsula. If you’re a lover of design you’ll lap this place up. The atmosphere is laid back and you’ll have plenty of opportunities to get on it – there’s a gig every evening and everyone’s super friendly.

Check for Best Price

 

Psst! Heading to a hostel? Don’t forget to pack a padlock! It’s well worth having one so you can secure your locker and protect your stuff!

 

Best Hostel in Iceland for Digital Nomads – Hlemmer Square

Hlemmer Square best hostels in Iceland

Hlemmer Square is our pick for best hostel in Iceland for digital nomads

– $$$

– Cafe/Bar

– Bicycle Hire

– Games Room

In the past, this was a meeting place for travellers with horses. These days it’s a meeting place for travellers with laptops. It’s one of the best hostels for digital nomads in Iceland. The luxurious vibe here is really something you’ll appreciate – especially if you’re on the road long term.

It’s pretty big too – there are a couple of kitchens and a few lounges, which means you’ll be able to find a spot for you and your laptop to sit and have some quality time together. Sort of a mix between a hotel and a hostel, making a solid place to get some work done.

Check for Best Price

 

Bina Guesthouse

Bina Guesthouse best hostels in Iceland

– $

– Free Breakfast

– Cable TV

– Location, Location, Location

Wanna stay near the big thermal swimming pool in Reykjavik? This is a solid option. So when you’ve had enough of your laptop and the internet for one day you can just haul yourself here and relax to the max.

Or if you don’t wanna actually hang out at this hostel – even though it’s the best hostel for digital nomads in Iceland – there are literally so many cafes and things on the doorstep to take your pick from. Just choose one and set up shop with a coffee. Oh and there’s also a free breakfast.

Check for Best Price

 

Glad’s Guesthouse

Glads Guesthouse best hostels in Iceland

– $

– Communal Kitchen

– Good Transport Links

– Tours & Travel Desk

You’ll be glad you stayed here at Glad’s. What about this place would make you so glad? Well, you’ll be glad that it’s LIKE a hostel but it’s more like being at home. And we know that digital nomads would be glad about that: sometimes a dorm just won’t cut it. Glad about the affordable price too.

There’s other things to make you feel glad at this top hostel for digital nomads in Iceland. You’ll be glad to be so near public transport. And you’ll also be super glad that the atmosphere here is pretty dang cosy; it’s actually a good place to meet other people if you’re feeling sociable. Glad to be of service.

Check for Best Price

 

Hafnarstraeti Hostel

Hafnarstraeti Hostel best hostels in Iceland

– $$

– Self Catering Facilities

– Pool Table

– Free Breakfast

Hafnarstraeti Hostel is one of the best hostels for digital nomads in Iceland. Why, you’re saying, what the actual H makes it so good? Privacy. That’s one thing. More pod accommodation here, so you can just cocoon yourself up at night and scroll Instagram till 4AM without bothering anyone.

There’s loads of common areas at this Akureyri backpackers hostel, meaning you’ll have no trouble finding a spot to type away on the internet. It’s also right opposite tourist information so you can figure out your plans for exploring the city with ease. It’s also close to laptop-friendly coffee shops and ting.

Check for Best Price

 

The Barn

The Barn best hostels in Iceland

– $$$

– Bar

– Bistro

– Cool AF

Wow. This is one slick place. It’s pretty much one the coolest hostel in Vik ’cause it’s basically like a luxury hotel. We can’t argue with that. It’s brand new, it’s very design-y, it’s got a bar, it’s got a shared kitchen, what more do you want?

Well, it’s super clean, the staff are really nice, and it’s set (would you believe it) in an old barn. It’s pretty, pretty cool. And we know who likes cool… Yep, it’s one of the best hostels for digital nomads for that exact reason. You’ll love it. Give yourself and your laptop a treat and book it up.

Check on Booking.com     Check on HotelsCombined

 

Best Hostel in Iceland with Private Room – The Capital-Inn

The Capital-Inn best hostels in Iceland

The Capital-Inn is our pick for best hostel in Iceland with private room

– $$

– Bicycle Hire

– Restaurant

– Self Catering Facilities

For a very, very nice price, this is easily one of the best hostels in Iceland with private rooms. It might be a little bit budget hotel-like, but if you literally do not care and just wanna stay in a nice lil’ private room for a decent nightly rate, well here you go.

There’s a big communal kitchen where you can cook – we believe that’s what it’s for, anyway. We mentioned the value for money factor, didn’t we? Aside from that, it’s magically 20 minutes’ walking from everywhere: the airport shuttle bus stop, the thermal beach, the bus into Reykjavik, too.

Check for Best Price

 

Lyngas Guesthouse

Lyngas Guesthouse best hostels in Iceland

– $

– Bar

– Communal Kitchen

– Lounge

A nice lil’ hostel in Egilsstadir (East Iceland), this place is good if you’re counting your pennies. It’s clean, it’s comfortable and the location is pretty dang good too – it’s near the airport, but it’s close to the Hallormsstadur Forests too. Good hiking around here.

This place is good if you’re on a road trip and you’re looking for one of the best hostels in Iceland with private rooms. It’s pretty cute and surprisingly stylish. The rooms themselves are bright, whitewashed, light wood, all that design-y kinda stuff that isn’t SO cool that you wake up feeling like you’re trapped in an Insta post.

Check on Booking.com     Check on HotelsCombined

 

Hofdi Guesthouse

Hofdi Guesthouse best hostels in Iceland

– $

– Free Laundry

– Free Breakfast

– Heritage Building

Hofdi Guesthouse is a Husavik backpackers hostel set in a house originally built in 1895. Pretty cool, huh? What makes this spot even cooler is that it’s just simple. It’s not in your face, it’s not crazy cool, it’s just… nice. We like.

As you’d expect, being one of the best hostels in Iceland with private rooms, the rooms here are worth it. And when it comes to location, it’s right near the harbour for whale-watching, plus there are loads of places to eat and drink around this place. It’s a cool little pad, basically.

Check on Booking.com     Check on HotelsCombined

 

Hofn Hostel

Hofn Hostel best hostels in Iceland

– $$

– Free Breakfast (Summer Only)

– Shared Kitchen

– Fireplace

It’s in Hofn (duh) overlooking the harbour, but you can also see flippin’ GLACIERS from here! This place is run in an environmentally friendly way, so if that’s your thing (honestly it should be your thing) then make a beeline for this top hostel in Hofn.

The kitchen here is super well stocked, which’ll save you money ’cause Iceland’s expensive. There are also good things going on here like glacier tours and snowmobile trips. It’s one of the best hostels in Iceland with private rooms  – some of them are even wheelchair friendly, which makes a change.

Check on Booking.com     Check on HotelsCombined

 

Selfoss Hostel

Selfoss Hostel best hostels in Iceland

– $$

– Hot Tub

– Wheelchair Access

– Luggage Storage

Talk about underfloor heating – this place has it almost everywhere. So your feet will never get cold, which is great ’cause Iceland does get flippin’ freezing. Plus it’s a steal for this expensive island, so for that alon,e it’s one of the best hostels in Iceland with private rooms. Nuff said.

What else you got here then? Hot tub, shared lounge, outdoor fireplace, a jacuzzi (also outside), a terrace for summer, and more. It’s a top spot in the city of Selfoss if you wanna go hiking… or if you wanna visit Selfoss Geothermal Pool. Walking distance to pretty much everywhere.

Check for Best Price

 

The Best Travel Backpack?!

Pssssst! Not picked the perfect travel backpack yet? The Broke Backpacker team has tried out over thirty backpacks this year! Our favourite carry on backpack is the Nomatic Travel Bag.

Read our full review!

 

Why you should travel to Iceland

Well, this is one whopper of a list. Iceland is a nature lovers paradise and there’s plenty of hostels to base yourself here.

So many that it could get hard to choose just one, right? But don’t worry. Keep it simple and go for the best overall hostel in Iceland, Kex Hostel. Then all you’ll have to worry about it finding some choice hiking spots!

What do you reckon, decent list for the best 35 hostels in Iceland? Comment below and let us know which one you’d go for.

And if you’ve been to Iceland before, tell us! Where did you stay? And whatever you do, please let us know if we’ve missed an absolute corker of a hostel that’s slipped past our radar. We don’t want to miss out any amazing Iceland hostels!

Kex Hostel best hostels in Iceland

 

Travel Safety Tips for Iceland

Iceland may be the safest country in the world, but still don’t forget to sort your travel insurance! Nature can be crazy here. We’ve put together a roundup of the best travel insurance for backpackers – check it out here, or if you’re low on time, get a quote from World Nomads now, our favourite travel insurance provider.

 

More Epic Hostels in Iceland and Europe

Hopefully by now you’ve found the perfect hostel for your upcoming trip to Iceland.

Planning an epic trip all across Iceland or even Europe itself?

Don’t worry – we’ve got you covered!

For more cool hostel guides around Europe, check out:

Some neighborhoods are more fun than others – discover which are the best areas to stay in Iceland and then book the right hostel!

 

Over to you

By now I hope our epic guide to the best hostels in Iceland has helped you choose the perfect hostel for your adventure!

If you think we’ve missed anything or have any further thoughts, hit us up in the comments!

Yay for transparency! Some of the links in this post are affiliate links. This means that if you book your accommodation through the site, The Broke Backpacker will earn a small commission at no extra cost to you. Your support helps keep the site going.


Need More Inspiration?

Like this post? PIN ME!!!

Whether you want to party, meet other travelers, or just sleep, our ultimate guide to the best hostels in Iceland shows you the best ways to save money in Iceland.

Leave a Reply

Your email address will not be published. Required fields are marked *