3 Best Hostels in Reykjavik, Iceland – Vintage and MARS Design in the Volcanic Island

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We tell you what; you won’t be disappointed with our chosen 3 best hostels in Reykjavik, Iceland. This is your insider guide to cool Reykjavik design hostels; for solo travellers, backpackers, and couples.

In fact, you won’t be disappointed with Reykjavik in general. The capital ‘city’ of 123,000 inhabitants is a true Nordic treasure. This is a handmade, first-hand experience guide.

Your Shortcut:

  1. KEX Hostel - best for Couples
  2. Bus Hostel - best for Solo Travelers
  3. Loft - HI Hostel - best for Backpackers

Money-saving tip: Compare hostel prices with Hostelz.com. They compare prices from Hostelworld, Booking.com and others with 1 click.

There are a surprising number of hostels here in Reykjavik. We’ve strived to find you the best in town. Guess what? Our #1 choice, KEX Hostel, just so happens to be a 5 star hostel.

This guide is perfect for YOU, when you…

  • are tired of crappy hostels!
  • want a social Hostel to actually meet people
  • are happy to spend $1 to $2 more for a much better experience

We condensed it all to the 3 coolest hostels in Reykjavik. Having travelled to Reykjavik ourselves – twice! – We’ve gone one step further by including a section of what you need to know before you go.

Happy commitment-free travellers should take some time to check out all of our 14 best hostels in Iceland and all our detailed guides to “best hostels in the world“.

Quick Introduction to Reykjavik Hostels

How expensive is Reykjavik and Iceland: It may be no secret that Iceland is expensive. We’re here to let you know that from first-hand experience; it is! But we will try to provide cheap hostels in Reykjavik

You’ll notice that hostel prices are above average. Unfortunately, this is standard across the country.

Average price for a bed: A bed in a dorm can be as cheap as 27€ up to 58€ per night. A private room in a hostel in Reykjavik can cost from 70€ up to 170€ per night for the complete room.

This is a rough average to give you an idea. Prices always depend on season and holidays. Please always check exact rates on Hostelworld.com or Booking.com.

Hostel Quality: We are pleased to let you know, the hostels here are really cool. You find most of them obviously in the capital, but some Youth Hostels are dotted around the island too.

Top tip: Budget well when backpacking Iceland. Make the effort to buy and cook your own food to keep costs down. Bonus is oe budget supermarket. This way your money goes a longer way.

Location of hostels in Reykjavik: By the way, Reykjavik is small! As beautiful as the city is, it’s a great idea to familiarise yourself with where in Iceland the famous sights can be found.

A lot of the natural beauty is widespread, so it might be worth considering renting a car.

Or, if you’re feeling very adventurous, set off on a cycle tour around Iceland like our blogger Kelly did.

Lastly, it’s highly recommended to join a walking tour in Reykjavik.

Auður over at I Heart Reykjavik offers wonderful tours and tons of information about the city.

🎁 New to Hostels? Read our guide to staying in a Hostel for the First Time here. We especially recommend reading:

The 3 Best Hostels in Reykjavik are …

Let’s jump right into the coolest hostels in Reykjavik.

  1. KEX Hostel – best for Couples
  2. Bus Hostel – best for Solo Travelers
  3. Loft - HI Hostel – best for Backpackers

These are our favorite hostels in Reykjavik. We want to make your life even easier, so we put all accommodations on a map for you. We even added our own tips for favorite restaurants, things to see, and more.

Overview: Best Hostels by Traveler Type

🦸 Solo Traveler: Bus Hostel Reykjavik
🙎‍♀️ best for Female Solo Traveler: Bus Hostel Reykjavik
🎒 for Backpacker:Loft - HI Hostel
👩‍❤️‍👨 Couple Hostel: KEX Hostel
👨‍👩‍👦 Family Hostel: Loft - HI Hostel
👩‍💻 For Digital Nomads: KEX Hostel
🧘 Cozy Hostel: Bus Hostel Reykjavik

1. KEX Hostel (5 Star Hostel)

KEX is the Icelandic word for “biscuit” and a super social hostel in Reykjavik: KEX Hostel. Here’s how KEX describe the hostel:

Housed in an old biscuit factory Reykjavik downtown and furnished with salvaged materials and found objects from various places,

“KEX is an organic concept blending a vintage industrial feel with an eclectic, contemporary touch.”

We couldn’t have put it better ourselves. This is without doubt the best hostel in Reykjavik, and the ONLY 5 star hostel in Iceland!

Every room imaginable is available – dorms (inc. Female only), private single, twin and double, plus family rooms.

KEX can accommodate 215 people at one time, wow! SO it is a seriously big hostel. If you like more neat and intimate backpacker hostels, keep scrolling too.

Good to know: cribs are available and children under 3 years stay for free.

Learn more and find out why KEX is awarded as a 5 star hostel. Link below.

Book KEX Hostel here

Check prices at:
Hostelworld | Booking.com | Hostelz.com

Full Review

KEX Hostel one of the Best Hostels in Reykjavik, Iceland Boutique Hostels in Reykjavik; The KEX Hostel

What else is there to entice you?

  • 24-hour reception
  • Tourist info desk
  • Heated outdoor patio
  • Fully-equipped kitchen
  • Old school gym

It’s easy to believe you’ll meet plenty of people at this hostel.

The warm, inviting bar and restaurant provide a perfect chill place to do just that.

There is a multi-functional hall – Gym and Tonic – is available for conferences, private parties, theatre plays etc.

Read: 13 Creative Design Ideas to steal!

The distance to nearby clubs, music venues and shops is also painless. In fact, Sæmundur Gastro pub is at the heart of KEX hostel.

This ‘not-quite-fancy yet swanky’ pub offers up Icelandic heritage grub, alongside delicious local and craft beer. It is very popular amongst locals!

KEX Hostel is slap bang in the centre of Reykjavik, with views across the bay to Mt. Esja.

KEX Hostel is the best hostel in Reykjavik for:

  • Couples
  • Families
  • Groups

Learn more and find out why KEX is awarded as a 5 star hostel. Link below.

You can also check our Discounts and Promo Codes section for KEX Hostel promo code.

Book KEX Hostel here

Check prices at:
Hostelworld | Booking.com | Hostelz.com

Full Review

KEX Hostel one of the Best Hostels in Reykjavik, Iceland

KEX Hostel one of the Best Hostels in Reykjavik, Iceland

2. Bus Hostel (The Backpackers choice)

Bus Hostel is an outstanding creative hostel in a quiet neighbourhood of Reykjavik. It is smaller than KEX, a bit more intimate.

The quirky, vintage design is something to be proud of. Get your Instagram ready folks!There are dorm rooms including female-only. Choose between 4, 6, 10, 16 and 24-beds.

Private rooms are also available, with linen and towels included.

Important: Dorms are sleeping bag accommodations. Duvets can be rented for a small fee.

Update: The BUS Hostel got renovated in mid of 2018. They replaced their vintage style with a new, hip wooden style.

Book Bus Hostel here

Check prices at:
Hostelworld | Booking.com | Hostelz.com

Bus Hostel one of the Best Hostels in Reykjavik, Iceland Stylish common area! Have a drink at the Bus Hostel Bar

This hostel has not one, but two kitchens. Everyone is encouraged to use the space and equipment. In the main lounge area, there’s a lovely cafe.

Sit and drink your coffee, marvel at the decor and enjoy the free WiFi.

By the way; reception is open 24-hours. We know you love that.

If you stay here, you’ll only be a 15-minute walk from Hallgrimskirkja, the tallest church in Iceland. Major bus routes in/out of Reykjavik are a few minutes from the hostel. It is located with the bus station that goes to the international airport.

Bus Hostel is the best hostel Reykjavik can offer:

  • Backpackers
  • Solo-Travellers preferring smaller hostels
Book Bus Hostel here

Check prices at:
Hostelworld | Booking.com | Hostelz.com

Bus Hostel one of the Best Hostels in Reykjavik, Iceland

3. Loft - HI Hostel

Loft - HI Hostel is one of the best party Reykjavik Iceland hostel. It has bar and a rooftop terrace with a city view.

They have music events, yoga classes, water painting and table football tournaments that you can enjoy with your friends and family.

The hostel has laundry facilities for your convenience.

Hostel Highlights:

  • Free WiFi
  • Airport shuttle
  • Family rooms
  • Non-smoking rooms
  • Facilities for disabled guests
  • 24-hour front desk
  • Bar
  • Board game room

Location: Reykjavik Loft HI Hostel sits on the main shopping street so souvenirs or an inviting coffee are only a few steps away. Hallgrímskirkja (Reykjavík Cathedral) is a 5-minute walk.

This is one of the best hostels in Reykjavik for

  • Solo Travelers
Book Loft - HI Hostel here

Check prices at:
Hostelworld | Booking.com | Hostelz.com

Best Hostels in Reykjavik for Solo-Traveller?

Traveling solo to Iceland? Then opt-in for a top hostel for solo-travellers.

When you are into big, stylish hostels, we recommend KEX Hostel for female and male solo-travellers alike. It is super safe and hip, a top location, and really really social.

There is a tiny disadvantage though. KEX is fairly big. While it’s cosy and popular among locals, some solo-travellers might prefer small, and cosy hostels.

In this case, we recommend our #2, the Bus Hostel.

Any questions about hostels in Reykjavik?

🤔

Join our Facebook Group!

Ask all your questions and connect with like-minded wanderers 🔥

The location is still okay, it is very safe and at the same time smaller and more intimate. If you are more introverted, the BUS Hostel might be the better choice.

Read: 18 tips on how to build life time friendships in hostels

Book KEX Hostel here

Compare prices and read reviews at: Booking.com | Hostelworld | Full Review

Best Hostels in Reykjavik: KEX is for social butterflies
Having lunch at KEX Hostel
Best Hostels in Reykjavik for Female Solo Travellers
Female Solo-Travellers enjoying a chat and drink at BUS Hostel

Best Hostels in Reykjavik for Families

It is not every time we recommend hostels for families. There is some destinations we think hostels are not a good choice for families to stay.

Not so in Reykjavik.

There is two cool places to stay in Reykjavik for your lovely Family:

  • KEX Hostel

KEX has the advantage of a games corner for the little ones. That is really great. On top, cribs for children until 3 years old are provided for free.

What to know about Reykjavik

More hostels in Reykjavik worth a mention

We have shared to you the hostels that are close to our hearts but it doesn’t stop from there because we are giving you more options by offering more hostels in Reykjavik Iceland.

Please have a peek! These are great hostels Reykjavik  could offer.

  • Reykjavik City HI Hostel
  • Hostel B47

Reykjavik City HI Hostel

Reykjavik City HI Hostel is one of the coolest hostels in Reykjavik and Iceland.  You can choose between mixed or female-only dorms and private double rooms.

It is also considered to be one of the cheap hostels in Iceland Reykjavik.

The rooms were quite spacious with private locker. Rooms are clean, cosy and stylishly decorated with touches of authentic Nordic decor.
Reykjavik City Hostel provides list of interesting events for the following week for their guests.

You can do a lot of activities outdoors here at Loft Hi Hostel Reykjavik because they have picnic area, outdoor furniture, BBQ facilities, terrace and garden.

Hostel Highlights:

  • Free parking
  • Free WiFi
  • Airport shuttle
  • Family rooms
  • Non-smoking rooms
  • Facilities for disabled guests
  • Coffee Bar

Location: Located in the heart of Laugardalur Park, next door to the national sport stadiums and Laugardalslaug, Iceland’s biggest thermal pool and spa. It’s a 30-minute walk to the city centre along the scenic Reykjavik coastline, or 10 minutes by bike or bus.

Book Reykjavik City HI Hostel here

Compare prices and read reviews at: Booking.com | Hostelworld

Hostel B47

Want to stay in something that is historical? Hostel B47 is perfect for you!

Hostel B47 is a historical hostel in Reykjavik Iceland. It is in the historical house Heilsuverndarstodin.

The room nicely decorated and spacious, the beds are comfortable. The halls have a lot of different paintings on the walls which is nice.

Hostel Highlights:

  • Free parking
  • Free WiFi
  • Airport shuttle
  • Family rooms
  • Non-smoking rooms
  • Facilities for disabled guest

Location: Reykjavík’s landmark Hallgrímskirkja Church is 200 m away from Hostel B47. Sundhöllin public swimming pool is next door to B47.

Book Hostel B47 here

Compare prices and read reviews at: Booking.com | Hostelworld

Any Discounts or Promo Codes?

Currently, we have no special hostel discounts or Promo Codes for hostels in Reykjavik.

We are working on getting promo codes for KEX Hostel Reykjavik, BUS Hostel and all the other great hostels in Reykjavik.

Subscribe to our newsletter. Here we share our newest promo codes for best hostels and best hotels in Reykjavik Iceland.

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Our Favorite Hostels in Reykjavik put on a map + sights

This map is designed to make your travel planning even easier. All of the hostels are pinpointed, along with top things to see and do in Reykjavik. As we mentioned before; Reykjavik is small considering it’s a capital city.

It’s highly recommended you venture outside and discover the Golden Circle. Of course it’s possible during the winter to spot the Northern Lights – we hope you get lucky!

Awesome tours from Reykjavik and sights are:

  1. South of Iceland Full Day Tour
  2. Jökulsárlón Glacier Lagoon Full-Day Tour
  3. Whale Watching Tour
  4. Puffin Watching Boat Tour
  5. Sun Voyager
  6. Laugardalslaug
  7. The Icelandic Phallological Museum
  8. Hallgrimskirkja
  9. The National Gallery of Iceland / Listasafn Íslands
  10. Tjörnin

Any questions about hostels in Reykjavik?

🤔

Join our Facebook Group!

Ask all your questions and connect with like-minded wanderers 🔥

Our 5 Local Tips for Reykjavik

Alright, since we have your accommodation in Reykjavik sorted out, let’s check what’s there to do.

Reykjavik is the cultural center of Iceland, the land of fire and ice, famous for its colorful buildings in an eclectic design. Make sure you start your Iceland experience on the right foot.

The most northern capital of the world is a beautiful, cosy city and the perfect starting point to get a glimpse of the Icelandic lifestyle.

1. Flea Market Kolaportið (e.g. for Shark Meat)

At the Fleat Market you will find all kind of people selling many different things – new and 2nd hand.

Check out the food section for some traditional Icelandic food. The shark meat is probably the most interesting Icelandic food you can discover. It is believed that shark meat is very healthy and cures several different diseases.

Address: downtown by the Reykjavik harbour

2. Pool and Spa Laugardalslaug

Of course you want to check out a Spa, don’t you? Reykjavik and Iceland is famous for them. Check out the Spa Laugardalslaug. Remember to pack a towel.

The entrance costs only 600 kr but if you need to rent a towel you pay 550 kr extra.

And hey, we highly recommend to check out the salt water hot tub in the far left corner.

Address: Sundlaugarvegur 30, 105 Reykjavik, Iceland

3: The Boston Bar

SKAL! Another great bar featuring an antique vintage design is the Boston Bar.

This place is a kind of bohemian place where musicians, artists, actors get together. There is a patio you can hang out, and the music is usually easy-going.

This is the perfect place to meet locals!

Address: Laugavegur 28b 101 Reykjavík, Iceland

4. Café Babalu – a Living Room

This café is a nice, cozy place offering vegetarian food with local ingredients.

It basically looks and feels like a living room. We especially recommend the lasagna with garlic bread and salad – you could even share this plate as it is quite big!

This place has also a terrace up stairs if you fancy.

Also, you will find many different geeky things around this place like some characters from Star Wars, The Flintstones, and so on. Pretty homely place – we love it!

Address: Skólavörðustígur 22a, 101 Reykjavik, Iceland

5. Seafood Restaurant and Fish & Chips Shop

Last but not least, he have this great Seafood Restaurant for you.

You can try white fish, Lobster soup, and shrimps/ scallop kebap – everything super tasty. It’s a local place with reasonable prices.

Address: Tryggvagata, 101 Reykjavík, Iceland

FAQ

Alright, you should have found your accommodation already. Below we list all the frequently asked questions. Have a look.

Flights to Reykjavik?

We use Skyscanner and Omio.com to find cheap flights and good connections all over the globe.

Skyscanner has a bunch of cool features like Multi-City Trip. Instead of doing this research step-by-step, Skyscanner offers this flight planning tool.

Our Step-by-Step Guide to Skyscanner

review of Skyscanner flight searches

Alright, this is your answer to where to stay in Reykjavik.

Don’t forget: we’ve put together a super handy guide to the best hostels in Iceland.

We did the leg work for you and bring you more hostel guides to destinations:

You can find all our new and updates articles for Best Hostels in here.

We also created a huge guide to hostels. Here we cover how to build lifetime friendships in hostels, the perfect packing list and more.

Over to you

Do you have any questions left, maybe doubts? Then please leave it in the comment below. We are very keen to help you - and actually you would even do us a favor!

Your question will help us to improve this Reykjavik guide.

Last note: Our commitment

This is a genuine article to help you travel a bit smarter, and find the best place on a budget! We will never recommend you any place we haven’t evaluated or are not convinced by. We are constantly updating all our guides to keep them as fresh and accurate as possible.

Safe travels,
The Hostelgeeks

Safe travels!

– – –

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CLOSED: Reykjavik Hostel Village

Update: This hostel has closed. We’ve kept this content here for your information.

Reykjavik Hostel Village is a family owned hostel located very closely to Reykjavik city centre and to the buses to Keflavik.

They have a total of 27 rooms with shared bathroom in every single floor. This is good for solo backpackers and solo travellers.

Take note that they also have private rooms for couples.

Enjoy their billiard board and football board with your friends and new found buddies!

Hostel Highlights:

  • Free parking
  • Free WiFi
  • Airport shuttle
  • Family rooms
  • Non-smoking rooms
  • Terrace

Location: It is 1.5km away from Reykjavík Domestic Airport and 0.4 km away from attractions like Reykjavik Art Museum: Kjarvalsstadir and Hallgrímskirkja Church.

CLOSED: Galaxy Pod Hostel (out of this world accommodation)

Update: This hostel has closed. We’ve kept this content here for your information.

The landscape in Iceland is pretty alien, and it’s the same for Galaxy Pod Hostel.

  • Space Pods? Check
  • Virtual reality? Check

All of the dorms are made up of pods in Galaxy Pod Hostel Reykjavik.

So whether you opt for the 4-bed or 24-bed, you’ll find comfort and privacy behind the provided curtain/door.

If you have never stayed in a hostel, and you want to try a hostel for the first time, make it Galaxy Pod Hostel.

Galaxy Pod Hostel one of the Best Hostels in Reykjavik, Iceland

You’ll also have a safe, locker, TV, fan, linen and USB charging point inside your out-of-this-world pod.

They’ve certainly thought of everything!

Read: what NOT to pack to stay at a hostel

Calling all solo women: there’s a female-only dorm with your name on it.

So what about social spaces? There are plenty, including:

  • Social lounge
  • Movie room
  • Self-service kitchen w/ vending machine
  • In-house bar

The lounge is super nice because of the Mountain View.

Good to know: Children under 12 years can share a bed with parents free of charge.

Reception has set hours, but you’ll be happy to know there is no curfew.

Families should visit the nearby Laugardalur just 15-minutes away.

There is a swimming pool there, football stadium, gym, tennis court, skating rink, a concert hall, a baseball field, a zoo and an amusement park.

The bars and nightlife are 15-minutes in the other direction.

Galaxy Pod Hostel is the best hostel in Reykjavik for:

  • Flashpacker
  • Groups
  • Families too

Seriously, this hostel is a top choice for families!

Galaxy Pod Hostel one of the Best Hostels in Reykjavik, Iceland Galaxy Pod Hostel one of the Best Hostels in Reykjavik, Iceland

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