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The best hostels in South Iceland

Check out our pick of great hostels in South Iceland

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Review score

Superb: 9+ Very good: 8+ Good: 7+ Pleasant: 6+
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Located in Hvolsvöllur and with Seljalandsfoss reachable within 22 km, Midgard Base Camp provides concierge services, non-smoking rooms, a shared lounge, free WiFi throughout the property and a terrace. Providing a restaurant, the property also has a garden, as well as a sauna and a hot tub. The accommodation features evening entertainment and a tour desk.

Buffet and continental breakfast options are available at the hostel. Friendly staff, amazing facilities and loved that it has hot tube and sauna

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9.1
Superb
2,115 reviews
Price from
US$37
per night

Located in Fludir, 25 km from Geysir, Efra Sel Hostel provides accommodation with a garden, free private parking, a shared lounge and a terrace. The accommodation offers a shared kitchen and free WiFi. Efra Sel was the nicest surprise of our trip when it comes to accommodation, and probably my favourite accommodation we stayed at in Iceland. The room was spacious and clean, and this was the only room where we had a sofa as part of a "living room corner" too. There was a sink and mirror in the room. The bathrooms are nice and there are 2 bathrooms for 6 rooms I think, which is a good ratio. We did not see other people, so it barely felt like a shared hostel bathroom. The kitchen is also well equipped with a large table facing large windows with a nice view outside. The price was also pretty affordable. We were sorry we booked only 1 night, and would definitely come back!

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9.2
Superb
123 reviews
Price from
US$94
per night

The rooms in the hostel are fitted with a coffee machine. Featuring a shared bathroom with a shower and a hairdryer, rooms at The Coffee House also boast free WiFi. The units will provide guests with a fridge. We stayed at this guesthouse for just one night. We met the host, and she turned out to be a very welcoming and friendly woman. It was a real pleasure to chat with her and learn some nice little details about staying in Iceland.

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9.1
Superb
250 reviews
Price from
US$87
per night

This Icelandic horse farm provides accommodation in Haukadalur Valley, 90 minutes’ drive from Reykjavik. Overlooking Geysir, it offers a guest lounge, garden and horse riding tours.

Some of Geysir Hestar’s accommodation options feature a kitchen and a seating area with sofa. Toilets and showers are either private or shared. Amazing place 😍 everything was perfect and we saw the northen lights right here! Also there is a local restaurant/pub 6 minutes walk.

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9.2
Superb
668 reviews
Price from
US$81
per night

The Barn is located near the village of Vík between the Mýrdalsjölill Glacier and the southern coast of Iceland. This hostel provides free WiFi and complimentary parking on site.

The Barn features a communal kitchen and an information desk. Guests are provided lockers for their personal belongings. A hostel bar is at your disposal. Felt like in a hotel instead of hotel. Everything was clean. Loved that we get to enjoy some hot drinks, pizza at the cafe while playing cards and puzzles

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8.6
Fabulous
5,913 reviews
Price from
US$60
per night

Set 26 km from Kirkjubæjarklaustur in the South Iceland Region, 40 km from Fagrifoss, Hvoll Guesthouse features a barbecue and views of the mountain. Systrafoss twin falls is 24 km away.

All rooms are fitted with a shared bathroom. Hvoll Guesthouse features free WiFi . Location, room size, kitchen facility, easy check in and out

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8.1
Very good
3,253 reviews

Bakki Apartments & Hostel offers dorm rooms and self-catering apartments by the sea in Eyrarbakki village. WiFi and parking are free. Reykjavík city centre is a 50-minute drive away.

Bakki Hostel's dormitory rooms have access to shared bathrooms, a guest lounge and a communal kitchen with tea/coffee facilities. 1. Great location by the ocean. 2. There were six of us and we booked a deluxe two bedroom apartment, which had an outdoor terrace. We were there in mid-July, so we were able to enjoy a nice evening outside. 3. Well equipped kitchen and dining area. 4. Very clean bathroom. We would definitely come back again.

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8.9
Fabulous
1,537 reviews
Price from
US$56
per night

Set a 10-minute drive from Jökulsárlón Glacier, this farm Guesthouse offers rooms with free Wi-Fi and mountain views. Iceland’s Ring Road is right next to the property.

Guest rooms at Skyrhusid Guesthouse have an in-room wash basin. All have access to shared bathroom facilities. Bed linen and towels are included. Location was just great! Just off the ring road and so near to the Jokulsarlon lagoon and the surrounding activities which we booked (eg Glacier Adventure). So it is really a great base although it was pricey due to its location. But no regrets as it saved us travelling time and more resting time! We had 2 rooms that were next to each other. The whole hostel is very clean (we see the staff hard at work and the place smelling great) and the kitchen has excellent amenities for simple cooking. Enjoyed the coffee on the house and the excellent Icelandic happy marriage cake. Overall a very comfortable stay for 2 nights for 5 of us!

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8.8
Fabulous
1,573 reviews
Price from
US$148
per night

Set in a 1920s former school building, Héradsskolinn offers both private rooms and dorms. All rooms feature bright décor, lake- or mountain views and access to a pool table and TV lounge. Guests can choose between rooms with private or shared bathrooms. The building is beautiful both inside and out, with a unique charm thanks to its history as an old school. The atmosphere has a very cool, distinctive vibe. Our room was on the smaller side, but it was comfortable and cozy. The shared bathrooms were decent and served their purpose. We also opted for breakfast, which featured a wide variety of options—and everything we tried was delicious.

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8.4
Very good
1,453 reviews
Price from
US$94
per night

Overlooking Höfn Harbour and Vatnajökull Glacier, this hostel features a guest kitchen, BBQ area and laundry facilities.

Höfn Hostel offer some rooms with shared bathroom and some with private bathrooms. Some rooms are accessible. Beyond our expectations of a hostel. Everything was new , clean and well done.

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8.9
Fabulous
2,842 reviews
Price from
US$52
per night

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