Southern Iceland Vacations
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Where to stay in Southern Iceland
Find the best Southern Iceland areas and neighborhoods for the activities you enjoy most. Learn more about Southern Iceland
Downtown Reykjavik
3 out of top 10 points of interest in this area
Home to Iceland's national parliament and vibrant nightlife, Reykjavík City Center boasts landmarks like Tjörnin pond, Hallgrímskirkja, and lively Austurstræti and Bankastræti streets.
Háaleiti
While there might not be top attractions in Háaleiti, you can explore the larger area and discover places like Kringlan Shopping Mall and Laugardalslaug Geothermal Pool.
Vesturbær
1 out of top 10 points of interest in this area
Mostly residential with a touch of commercial activity at Grandi harbor, this district boasts the University of Iceland and the community-centered Vesturbæjarlaug swimming pool.
Laugardalur
Just east of Reykjavík's city center, Laugardalur offers various recreational facilities, including the main stadium. Known as "hot spring valley," it's perfect for travelers seeking leisure activities.
Tún
If you're spending some time in Tún, Laugavegur and Hofdi House are top sights worth seeing.
Find the Best Southern Iceland Vacation Packages
Southern Iceland Hotel Deals
Hotel Vík í Mýrdal
Klettsvegur 1-3 Vik I Myrdal
₩490,457
₩553,395 total
Sep 20 - Sep 21
includes taxes & fees
9.4/10 Exceptional! (1,272 reviews)
"Not the most friendly people. It appears that Icelandic people are not used to smiling or being warm. Maybe we just need to get used to it."
Reviewed on Sep 2, 2026
Hotel Reykjavík Grand
Sigtun 28 Reykjavik
Fully refundableReserve now, pay when you stay
₩332,903
₩378,480 total
Oct 4 - Oct 5
includes taxes & fees
9/10 Wonderful! (1,030 reviews)
"Good location however ongoing renovations were quite disruptive- particularly concrete drilling at 7:30 am"
Reviewed on Sep 3, 2026
CityHub Reykjavik
46 Hverfisgata Reykjavik Reykjavíkurborg
Fully refundableReserve now, pay when you stay
₩192,487
₩222,761 total
Sep 7 - Sep 8
includes taxes & fees
9.2/10 Wonderful! (634 reviews)
"great central location. close to a cheaper parking garage extremely helpful if you’re hiring a car to drive around. rooms are small but you can fit suitcases under the bed."
Reviewed on Sep 3, 2026
Lowest nightly price found within the past 24 hours based on a 1 night stay for 2 adults. Prices and availability subject to change. Additional terms may apply.
Stay near popular Southern Iceland attractions
Reykjavik Harbour
9.2/10 (8,713 reviews)
Reykjavík's historic harbor pulses with maritime culture amid colorful repurposed fishing buildings. Embark on whale watching or Northern Lights cruises while enjoying panoramic views of Faxaflói Bay and Mount Esja.
Blue Lagoon
9.4/10 (4,050 reviews)
Iceland's iconic Blue Lagoon offers milky-blue geothermal waters rich in minerals amid volcanic landscapes. Reserve a twilight soak to experience the ethereal atmosphere while enjoying silica mud masks.
Hallgrimskirkja
9.2/10 (7,612 reviews)
Hallgrímskirkja rises like Iceland's basalt columns in concrete form, dominating Reykjavik's skyline. Take the elevator to the observation tower for sweeping city views framed by distant mountains.
Harpa
9.2/10 (5,664 reviews)
Harpa's geometric glass façade reflects Iceland's volcanic landscape and Northern Lights, creating a dazzling waterfront landmark. Experience world-class performances or tour this architectural masterpiece from within.
Laugavegur
9.4/10 (6,657 reviews)
Reykjavik's main thoroughfare pulses with colorful boutiques, Icelandic design shops, and lively cafés. Wander between art galleries and cozy restaurants before experiencing the street's legendary nightlife scene.
Gullfoss
9.8/10 (564 reviews)
Part of a nature reserve, this waterfall crashing into a deep canyon is among the country’s most iconic features.
Thingvellir National Park
9.4/10 (4,157 reviews)
Walk between two tectonic plates at this UNESCO site where Iceland's first parliament was established in 930 AD. Explore the Almannagjá Gorge's dramatic fissures and witness the Öxarárfoss waterfall's cascading beauty.
Frequently asked questions
How much does a Southern Iceland vacation package cost?
The most affordable Southern Iceland package is , so your dream trip can become a reality — without breaking the bank. Combine flights, hotels and car rentals to customize a package suited to your travel style.
How do I get a cheap travel package to Southern Iceland?
You'll save a pile of money if you bundle your flights, hotels and car rentals into a Southern Iceland travel package. Sometimes cheap means fewer choices. But not with Expedia. We offer over 550 partner airlines and 1,000,000 properties all over the world, so you'll always have plenty of variety to choose from. Want to save even more? Add some fun activities to your package deal and unlock even bigger discounts! After all, travel is about more than simply getting to your destination.
Where should I stay in Southern Iceland?
You'll have lots to do in Reykjavik, with well-known landmarks like Hallgrimskirkja and Blue Lagoon to explore. Or, if sights like Thingvellir National Park and Geysir Hot Springs are more your style, Bláskógabyggd is the place to head.
What are the top hotels in Southern Iceland?
When it comes to properties in Reykjavik, Center Hotels Plaza and Reykjavik Residence Hotel are among the favorites. If you're also visiting Golden Circle, Hotel Vík í Mýrdal and Courtyard by Marriott Reykjavik Keflavik Airport will make you feel right at home.
How far in advance should I book my Southern Iceland vacation?
While not all air carriers release tickets early, it's usually possible to compare international fares on Expedia up to a year in advance. This is when you can score some fantastic bargains. If you've left things to the last minute, you may still be in luck. Sometimes the cheapest prices appear a few weeks before departure.
What does an Expedia Southern Iceland travel package include?
Hotels, flights and rental cars, or any combination of them — it's your pick! Whether you're visiting Southern Iceland with the whole family or traveling by yourself, there's a package to suit every budget and style. Once you've made your booking, why not add on a few tours as well?
What should I know before booking a Southern Iceland travel package?
Our prices are always low. However, you'll score even better deals if you book your hotels, flights and car rentals together. With an Expedia package, you'll get transparent pricing and a terrific range of choice.
Can I choose my airline with a Southern Iceland Expedia vacation package?
With a vacation package, you're in charge. Whether you'd like to fly to Southern Iceland in business or coach, simply select from the available airline options. Expedia has access to more than 550 airline partners worldwide.
If I'm not able to travel, can I cancel my Southern Iceland vacation package?
You sure can, and we'll help you every step of the way. You may be able to cancel and rebook your Southern Iceland vacation package for free if you booked in the last 24 hours. But you may incur a fee from your airline, hotel or car rental company for older bookings. If your travel plans unexpectedly change, take a look at our Customer Service Portal for more information.
* Savings based on package bookings compared to the price of the same components booked separately. Savings not available on all packages.
