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The best cheap hotels in West Iceland

Check out our pick of great cheap hotels in West Iceland

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Superb: 9+ Very good: 8+ Good: 7+ Pleasant: 6+
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Facing the seafront in Búðardalur, The Castle features a garden and barbecue facilities. The property has sea and mountain views. There is a sun terrace and guests can make use of free WiFi, free private parking and an electric vehicle charging station. I recently had the pleasure of staying at the Castle, and I can confidently say it was one of the best hotel experiences I’ve ever had. From the moment I walked through the door, the service was impeccable. The staff was not only friendly but genuinely eager to ensure my comfort throughout my stay. The room was spacious, impeccably clean, and beautifully decorated with modern touches that made it feel like a true retreat. The bed was incredibly comfortable, and I had one of the best night’s sleep I’ve had in a long time. The amenities were top-notch, and I appreciated the attention to detail — everything from the high-quality toiletries to the luxurious linens. Breakfast was amazing, offering a wide variety of options, and everything was delicious. The location of the hotel is ideal, with easy access to key attractions and shops. It’s perfect for both leisure and business travelers. I can’t say enough about the level of service at the Castle. The staff went above and beyond to accommodate all my requests, and they made me feel right at home. The attention to detail, comfort, and overall experience made my stay truly unforgettable. I would highly recommend this hotel to anyone visiting the area and look forward to staying here again in the future!

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9.1
Superb
1,298 reviews
Price from
US$109
per night

Peninsula Suites is located in Hellnar. This property offers access to a balcony, free private parking and free WiFi.

The aparthotel with a terrace and sea views features 1 bedroom, a living room, a flat-screen TV, an equipped kitchenette with a microwave and a toaster, and 1 bathroom with a walk-in shower. Towels and bed linen are provided in the aparthotel. This aparthotel is non-smoking and soundproof. Amazing location - saw the northern lights Really nicely designed and done to a high standard One of the best places we’ve ever stayed

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9.8
Exceptional
153 reviews

Hotel Stafholt has a garden, terrace, a restaurant and bar in Varmaland.

At the hotel, the rooms are equipped with a wardrobe. With a private bathroom fitted with a shower and a hairdryer, rooms at Hotel Stafholt also feature free WiFi, while some rooms also feature a mountain view. All guest rooms will provide guests with a desk and a kettle. Clean and comfortable with amazing views. The rooms are a good size. It was so lovely to have quality toiletries. The service was outstanding. The breakfast had a great selection of quality items, and the soup dinner was a delicious option.

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9.2
Superb
999 reviews
Price from
US$168
per night

Kambur Cottages has sea views, free WiFi and free private parking, situated in Snæfellsbær. With mountain views, this accommodation features a terrace. The guest house features family rooms.

All units at the guest house are fitted with a seating area. Every unit is fitted with a coffee machine and a private bathroom with a shower and bathrobes, while certain rooms have a fully equipped kitchen fitted with an oven. At the guest house, all units include bed linen and towels. Wonderful position, top comfort and clean

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9.2
Superb
121 reviews
Price from
US$283
per night

The Guesthouse at Dynjandi Falls is located in Bíldudalur and features a private beach area, an open-air bath and a shared lounge. This beachfront property offers access to free WiFi and free private parking. The guest house has a hot spring bath and a shared kitchen. Amazing location, right on a spectacular fjord. Excellent hosts, beautiful guesthouse and facilities.

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9.5
Exceptional
105 reviews

Set in Grundarfjordur in the West Iceland region, Hafnir offers accommodation with free WiFi and free private parking.

The apartment consists of 1 bedroom, a living room, a fully equipped kitchen with a dishwasher and a coffee machine, and 1 bathroom with a walk-in shower and a hair dryer. Towels and bed linen are offered in the apartment. The property offers sea views. Spacious , well kept, clean, and had all everything we needed

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9.4
Superb
194 reviews
Price from
US$238
per night

A recently renovated homestay set in Borgarnes, Apartment Fernsicht features a garden. The property features sea and mountain views. The accommodation offers a shared kitchen and private check-in and check-out for guests. Sunset and sunrise from the bedroom as well as a perfect Nirthern lights display.

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9.5
Exceptional
101 reviews
Price from
US$174
per night

Set in Reykholt in the West Iceland region, Night & Day lodge - glass roof with hot tub features accommodation with access to a hot tub. This property offers access to a patio, free private parking and free WiFi. The property is non-smoking and is situated 36 km from Bjarnafoss. Special unique location and design. Feels like sleeping outdoors with the comfort and coziness of luxury hotel room with all the amenities.

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9.4
Superb
162 reviews
Price from
US$345
per night

A recently renovated guest house set in Birkimelur, Strönd Guesthouse features barbecue facilities. This beachfront property offers access to a terrace, free private parking and free WiFi. The guest house features a hot tub and a shared kitchen. Perfectly clean. Compact; had everything we needed. The communal kitchen was well-equipped and on-site parking was perfect. Great hot water, and the local geothermal pool was a bonus!

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9.2
Superb
401 reviews

Situated in Borgarnes in the West Iceland region, Mófellsstaðakot has a patio and mountain views. The property features river views. There is a sun terrace and guests can make use of free WiFi, free private parking and an electric vehicle charging station. It was very comfy, really nice views! And the attention was very fast! Their dogs where amazing!

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9.5
Exceptional
345 reviews
Price from
US$206
per night

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