If you're venturing to Iceland and want to explore beyond its iconic attractions, you're in for a treat. Iceland is filled with hidden gems that not only enrich your travel experience but also keep your budget intact. From stunning lesser-known waterfalls to unique natural hot springs, this guide will provide you with everything you need to know to uncover these treasures without draining your wallet.
Most travelers touch down at Keflavik International Airport (KEF), located about 50 kilometers from Reykjavik. The Flybus is a convenient option, costing 4,000 ISK (around $30) for a one-way ticket to the city. But if you’re looking to save a few bucks, the public Strætó bus is an excellent alternative at just 1,200 ISK (approximately $9). It’s more time-consuming, but you'll get a local experience along the way.
Once in Reykjavik, the city is incredibly walkable. For further adventures, the Strætó bus system is budget-friendly, with single tickets priced at 460 ISK (about $3.50). If you plan to explore the countryside, renting a car might be more economical, especially for groups. Companies like Geysir Car Rental offer compact cars starting around 6,000 ISK ($45) per day, which can be split among travelers.
Finding affordable lodging is key to a budget trip in Iceland. Kex Hostel, located in the trendy 101 district, offers dormitory beds starting at around 5,900 ISK ($45). This hostel is not just a place to sleep; it boasts a lively bar and café that captures the essence of local culture.
If you're looking for a quieter vibe, check out the HI Hostel in Laugardalur valley, where prices start at 3,900 ISK ($30) per night. It’s conveniently located near the Laugardalslaug swimming pool, a favorite spot for locals to unwind. For a more unique experience, consider renting an Airbnb in neighborhoods like Vesturbær or Grandi, where private rooms can be found starting at 6,000 ISK ($45) a night.
Icelandic cuisine can be pricey, but budget travelers can still enjoy hearty meals. One must-try is Bæjarins Beztu Pylsur, a famous hot dog stand near the Old Harbour. Here, you can indulge in a delicious lamb-based hot dog for just 480 ISK ($3.60). Make sure to top it with crispy onions and their special sauces for the full experience!
For a taste of traditional Icelandic dishes, head to Café Loki near Hallgrímskirkja. Their lunch specials, starting at 2,300 ISK ($17), feature delectable options like rye bread, herring, and lamb soup, all while offering a stunning view of the iconic church. If the weather is nice, grab a bite from local food trucks at Harpa, where you can find seafood tacos for about 2,000 ISK ($15).
While everyone flocks to the Blue Lagoon, there are other hot springs that provide a more authentic experience. One such spot is the Secret Lagoon in Flúðir, where you can soak in geothermal waters for about 3,000 ISK ($23). It’s less crowded and offers a magical atmosphere surrounded by nature.
Don’t miss out on the stunning Glymur Waterfall, just a short drive from Reykjavik. The hike to the waterfall is free and offers breathtaking views, although you might want to pack a snack for the journey. It’s a moderate trek, but the sight of one of Iceland's tallest waterfalls is worth every step!
| Item | Approx Cost | Notes |
|---|---|---|
| Flybus to Reykjavik | 4,000 ISK ($30) | Convenient but pricier than public bus |
| Public bus to Reykjavik | 1,200 ISK ($9) | More time-consuming but budget-friendly |
| Kex Hostel dorm bed | 5,900 ISK ($45) | Trendy vibe and social atmosphere |
| HI Hostel night stay | 3,900 ISK ($30) | Quiet area with local pool access |
| Hot dog at Bæjarins Beztu Pylsur | 480 ISK ($3.60) | Must-try local delicacy |
| Lunch at Café Loki | 2,300 ISK ($17) | Traditional dishes with a view |
| Entrance to Secret Lagoon | 3,000 ISK ($23) | A more authentic hot spring experience |
Iceland is generally safe, but it’s always wise to take precautions. Always inform someone about your travel plans, especially if you’re hiking or venturing into remote areas. The weather can be unpredictable, so dress in layers and be aware of your surroundings. If you’re driving, watch out for changing road conditions, and always heed local advice about safety.
Some hidden gems include the stunning Glymur Waterfall, the serene Secret Lagoon, and the picturesque village of Seyðisfjörður, which is nestled in the East Fjords.
A budget traveler can expect to spend around 4,000-6,000 ISK ($30-$45) per day on meals by enjoying hot dogs, cafes, and food trucks.
Yes, the Strætó bus system is reliable and covers most areas within and around Reykjavik, making it a great option for budget travelers.
Insider Tip: If you’re planning to visit several attractions, consider purchasing the Reykjavik City Card for unlimited bus rides and discounted entry to various museums and sights.
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