For budget travelers, Reykjavik Downtown HI Hostel offers affordable dorm beds, a central location, and a communal kitchen, while Hlemmur Square Hostel is also a lively option. In the countryside, consider campgrounds or basic guesthouses like Efra-Sel Hostel near Lake Mývatn.
For mid-range travelers, Hotel Skuggi in Reykjavik offers Scandinavian design and comfort without the high-end price. Fosshotel chain has reliable options throughout the country, including in Vik and Myvatn.
For luxury seekers, The Retreat at Blue Lagoon offers a surreal geothermal spa experience and exquisite rooms carved into the lava fields. Hotel Rangá in Hella is a boutique countryside resort ideal for Northern Lights viewing. In Reykjavik, Tower Suites offers panoramic views and plush modern luxury.