Prices in Iceland: What Every Traveler Needs to Know
Iceland, known for its breathtaking landscapes, vibrant culture, and unique experiences, is often regarded as one of the most enchanting travel destinations in the world. However, it is no secret that Iceland is also one of the more expensive countries to visit. If you are planning your dream trip to the Land of Fire and Ice, understanding the costs can help you budget effectively and avoid surprises.
In this guide, we’ll break down the costs of key travel essentials in Iceland to ensure you’re well-prepared.
1. Accommodation Costs
Accommodation in Iceland varies widely depending on your preferences, but overall, expect prices to be higher than in many other destinations.
Budget Options:
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Hostels: Prices range from $40 to $80 per night for dormitory beds.
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Campsites: Camping is a popular option, costing around $10 to $20 per person per night. Many sites offer basic facilities like toilets and showers.
Mid-Range Options:
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Guesthouses: Expect to pay between $100 and $200 per night for a private room with shared or private bathrooms.
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Airbnbs: Prices start at around $150 per night, depending on location and amenities.
Luxury Stays:
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Hotels: Upscale hotels charge between $250 and $500 per night, with premium lodges and resorts exceeding $1,000 per night during peak seasons.
2. Food and Drink Costs
Dining out in Iceland can be pricey, but there are ways to keep your food expenses in check.
Dining Out:
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Fast Food: A simple meal like a burger or pizza will cost $15 to $25.
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Casual Dining: Expect to pay $25 to $50 per person at a mid-range restaurant.
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Fine Dining: A three-course meal at a high-end restaurant can easily exceed $100 per person.
Groceries:
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Budget-conscious travelers often opt for groceries. Supermarkets like Bónus and Krónan are popular for their relatively affordable prices.
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Milk (1 liter): $1.50 to $2
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Bread (loaf): $3 to $5
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Local lamb or fish: $10 to $20 per kilogram
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Drinks:
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Coffee: A cup of coffee typically costs $4 to $6.
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Alcohol: Due to high taxes, alcohol is expensive. A beer at a bar costs $8 to $12, while a bottle of wine in a store may set you back $20 to $30.
3. Transportation Costs
Exploring Iceland’s natural wonders often requires some form of transportation, and the costs can vary significantly.
Car Rentals:
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Economy Cars: Prices start at $50 to $100 per day.
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4x4 Vehicles: Necessary for accessing highland roads, costing $150 to $300 per day.
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Gasoline: Fuel is expensive, averaging $2.50 per liter.
Public Transport:
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Buses: Local buses cost around $4 to $10 per ride, while long-distance bus routes can cost $30 to $100.
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Airport Transfers: A round trip from Keflavík International Airport to Reykjavík is around $50 to $60 per person.
4. Activities and Attractions Costs
While many of Iceland’s natural attractions are free to visit, organized tours and activities come at a price.
Free Attractions:
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Natural landmarks like waterfalls, glaciers, and beaches usually have no entrance fees.
Paid Activities:
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Blue Lagoon: Entry fees range from $50 to $100, depending on the package.
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Glacier Hikes: Organized tours start at $100 per person.
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Whale Watching: Prices range from $80 to $150 per person.
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Northern Lights Tours: Cost between $50 and $150 per person.
5. Miscellaneous Costs
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Travel Insurance: Essential for Iceland’s unpredictable weather, costing around $30 to $70 per trip.
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Souvenirs: Icelandic wool sweaters (lopapeysa) cost between $100 and $200. Smaller items like magnets or keychains range from $5 to $15.
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Wi-Fi and SIM Cards: Tourist SIM cards with data start at $15 for a basic plan.
6. Tips for Saving Money in Iceland
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Travel Off-Season: Prices drop significantly during the shoulder seasons (spring and fall).
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Self-Catering: Opt for accommodations with kitchen facilities to save on dining costs.
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Use Public Hot Springs: Instead of pricey spas, visit free or low-cost hot springs.
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Book in Advance: Secure better deals on accommodation, car rentals, and tours by booking early.
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Avoid Bottled Water: Tap water in Iceland is clean and free.
Final Thoughts
Iceland’s beauty and unique experiences are worth every penny, but understanding the costs upfront ensures a stress-free and enjoyable trip. Whether you’re a budget backpacker or a luxury seeker, proper planning can help you make the most of your Icelandic adventure.
PRICES IN ICELAND IN 2022
Prices in Iceland after the crisis in 2009 did not change as much as one would imagine. The truth is that the price of real estate and restaurant meals dropped somewhat, but basic products (such as food in supermarkets) have not undergone major changes in recent years. Of course, with the more favorable exchange rate with EUR Iceland, it did get a tad cheaper. Compare some prices in Iceland from 2019.
Average Prices in Iceland – food in the supermarket
Milk (1 liter) 109.29 isk/ .72 euro |
Flour (1kg) 416.74 isk/ 2.75 euro |
Eggs (12) 523.68 isk/ 3.46 euro |
Sugar (1kg) 222.36 isk/ 1.47 euro |
Rice (1kg) 70.49isk/ .47 euro |
Bottle of water .5 liter 212.55 isk/ 1.40 euro |
Skyr yogurt small 229 isk/1.51 euro |
Bottle of beer .33 liter 863.26 isk/ 5.70 euro |
Skyr yogurt large 409 isk/ 2.70 euro |
Cheddar cheese (330g) 628 isk/ 4.15 euro |
Unsalted butter (250g) 185isk/ 1.22 euro |
Whole chicken per kg 860isk/ 5.68 euro |
Margarina 389 isk |
Oatmeal (950g) 469 isk/ 3.10 euro |
Bread (500g) 325 isk/ 2.15 euro, |
Salami 499 isk/ 3.29 euro |
Pasta bolognese 440 isk/2.83 euro |
Lasagna 550 isk/3.54 euro |
Instant soup 299 – 399 isk/1.99-2.57 euro |
Meat soup 430 isk/2.77 euro |
Chicken buns in sauce 679 isk 6 pieces/ 4.37 euro |
Package dough 180-220 isk/1.16-1.41 euro |
Hot dogs 519 isk 5 pieces/ 3.34 euro |
Olive Oil 863.26 isk/ 5.70 euro |
Feel free to try as many Icelandic products as you can. We recommend meat (lamb, veal, hot dog), fish (salmon, halibut, Arctic Char, smoked salmon, dried fish), seafood, Skyr (Icelandic yogurt), milk and cheese, butter, feta cheese, soups , potatoes, tomatoes, chocolates, bread, spices, ice cream and more .
Prices for fruit and vegetables in Iceland
Strawberries large 409isk/ 2.70 euro |
Tomato (1kg) 592.25 isk/ 3.91 euro |
Strawberries small 229 isk/ 1.51 euro |
Potato (1kg) 176.33isk/ 1.16 euro |
Apple (1kg) 328.42 isk/ 2.17 euro |
Carrots 350 isk / 2.30 euro |
Orange (1kg) 328.43 isk/ 2.17 euro |
Icelandic Lettuce (packet) 950 isk / 5 euro |
Banana (1kg) 176.33 isk/ 1.16 euro |
Cauliflower (1kg) 650 isk / 4.20 euro |
Prices for drinks in Iceland (in supermarkets and shops)
Bottle of water .5 liter 212.55 isk/ 1.40 euro |
Light beer (can) 280 isk |
Can of coke .33 liter 261.6/ 1.73 euro |
Beer (in a liquor store) 200 – 300 isk |
Cup of coffee 395.58 isk/ 2.61 euro |
Bottle of Wine 900-3200 isk |
Red Bull 520 isk/ 3.43 eurok |
alcohol is not sold in supermarkets |
Transfer from Keflavík International Airport to Reykjavík (the capital) by bus: 28 EUROS (2022), 45-minute journey: RESERVE AIRPORT EXPRESS
In Iceland they produce many of their own vegetables and fruit. Although it seems incredible until recently Icelanders were the largest producers of bananas in Europe. In the greenhouse village in Hveragerdi they were able to plant more bananas than in other European areas. After the crises, the focus on local food became even more important for local suppliers and the people themselves always tried to support the country's companies instead of consuming imported vegetables. We recommend trying Icelandic potatoes, lettuce, cucumbers, tomatoes or onions.
Prices of other goods in Iceland
Rental of a car: (high season in 2022) from 42 EUR / day |
Entrance to the movies:1530 isk/ 9.83 euro |
Traditional Icelandic sweaters (Lopapeysa) 28.000 isk / 180 EUR |
Dish detergent: 399 isk/ 2.56 euro |
Sim card - prepaid with 2000 isk of credit 2,900: 3,400 isk / 22 EUR |
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Prices of hygiene products and cosmetic products in Iceland
Shampoo-Head&Shoulders (200 ml) 699isk/ 4.49 euro |
Shower soap 200- 550 isk/ 1.28-3.53 euro |
Shampoo 370-720 isk /2.38-4.63 euro |
Sanitary pads 550 isk/ 3.53 euro |

Prices of food in bars and restaurants in Iceland in 2022
Fast food meal per person 1,171.37 isk/ 7.74 euro |
Glass of wine 1000 - 1200 isk |
Typical meal per person 951.76 isk/ 6.28 euro |
Coca Cola (Refrescos) 300-350 isk |
Small draft beer 850isk-1.090/ 5.61 euro-7.20 euro |
Large draft beer 1.050-1.550/ 6.90 euro-10 euro |
Bottle of beer:1.200isk-1.4500isk/ 7.90 euro-9.60 euro |
Water FREE (tap water is free in bars and restaurants) |

Other prices of interest in Iceland in 2022
Rental of a car: (high season in 2022) from 42 EUR / day
Entrance to the movies:1530 isk/ 9.83 euro
Traditional Icelandic sweaters (Lopapeysa) 28.000 isk / 180 EUR
Dish detergent: 399 isk/ 2.56 euro
Sim card - prepaid with 2000 isk of credit 2,900: 3,400 isk / 22 EUR

Prices in Iceland in 2022