Planning a trip to Iceland in winter on a budget seemed like an extremely daunting task for my friend Ashley and I. In some instances, we even had to drop certain places / things we wanted to see because they were just too far away or we didn’t have enough loot to cover it. However, we came up with 10 tips that turned our 10 days of exploration into a great success.
10 Tips for Success:
- Eat only 1 meal at a restaurant per day and grocery shop for the rest.
- Use Airbnb to find the cheapest local rooms.
- Ask the locals questions.
- Book your Blue Lagoon tickets at least 1 month in advance.
- Look into having cell service, or a GPS in case you get lost.
- Get a rental car.
- Walk everywhere you can.
- Download or acquire accurate currency conversion tables.
- Plan where you want to spend money, and know that souvenirs are expensive af.
- Take at least 1 trip to explore using tip number 6.
Doesn’t sound too hard right? That’s because it’s totally doable, and I’m here to share all the fun we had doing it!
Where to Start
Ashley and I didn’t have a day-by-day itinerary by any means, but our plane tickets, rental car, and Airbnb in Reykjavik were booked. When we arrived at the airport, we took a short ride on the free shuttle provided to our rental car company (read about our bad experience here). Since we researched some locations, we knew that it would be a decent drive into downtown Reykjavik, and made sure to give ourselves about an hour to get there. Once we got to our Airbnb, which was conveniently located by downtown, we unpacked and tried to plan our days out. Check out my ultimate Iceland packing list to make being prepared a breeze!
Reykjavik
To be quite honest, I didn’t keep a super accurate record of what day we ate at certain places or did things, but I definitely wrote down our favorite spots in Reykjavik as well as all our stops on the two trips we took in the car. With that being said, we woke up pretty early (even though most of the city is closed in the morning) and found only a couple restaurants open for breakfast. My two favorites were Café Loki, which is right across from Hallgrimskirkja, and Café Babaloo, a little further down that same road.
Navigating
The easiest way we found to navigate downtown was to use Hallgrimskirkja (the giant church) as the center point. From there, we could easily orient ourselves, and figure out where we’re trying to go. Even the furthest point away at Whales of Iceland (definitely suggest!) was a decent walk, and I absolutely recommend walking everywhere you can in Reykjavik. This is mainly how we found local bathing pools, restaurants, shops, and even the Fish Spa!
Sights to See
Personally, I’m not a coffee drinker, but Ashley loved getting coffees from various places including the chain-like Te & Kaffi we went to. Other notable downtown restaurants we ate at include The Laundromat Café, Kex Hostel, and Fiskmarkadurinn. Some of the main sights we saw in downtown include:
- The Sun Voyager (by the water)
- Going to the top of Hallgrimskirkja to see the view
- Whales of Iceland (which has replicas of every type of whale found around Iceland)
- The Phallalogical Museum of Iceland (not for anyone squeamish around genitalia)
- The Fish Spa (to let fish eat the skin off your feet)
- The National Museum of Iceland (self explanatory), and
- Safnahusid – Culture House (another museum style place).
Obviously we didn’t do all of that in one day, but those are some of the highlights from our downtown exploration. Also note that most of these places have entrance fees, and the museums usually do a 2-for-1 type of deal, so that’s nice.
Road Trip!
Most of you are probably wondering about our two car trips, and if you’re not the type of person who enjoys tours or being rushed around to different sites, this is probably the best and most flexible option around. One of the biggest things I wanted to see in Iceland besides some waterfalls (duh), was the DC-3 plane crash remnants. Looking into it, normal tours don’t actually stop there (it includes a 4km hike to get to the actual site), so that was another part of the reason we decided against tours. Important to note: both trips we took started and ended back at our Airbnb in Reykjavik.
Trip #1
Our first trip ended up being a grand tour of the South Coast. The highlights included hiking to the DC-3 plane wreck, Dyrholaey Arch, Skogafoss waterfall, Seljalandsfoss waterfall, our mix-up with Selfoss, and Kerid Crater. Looking for a super detailed itinerary and map? Check out this post. We get down to the nitty gritty about where we went, what we saw, what to expect, and our mistakes.
Trip #2
Our second trip, which we planned first, was a trip around the Golden Circle. We made five stops (not to include a side journey to pet Icelandic ponies). We passed through Thingvellir National Park, gazed at the partially frozen Gullfoss waterfall, and watched a Geyser erupt. Before the end of the day, we ate the most incredible soup on the planet, and snuck into some geothermal pools. Check out the full itinerary here!
Planning
Ashley and I had plotted all these stops on our map to make sure we had enough km on the car to use and still see a lot of sites with enough time, but the GPS was the real life saver. Being able to make sure we were on the right path saved a lot of time and made sure we didn’t get turned around. Another big thing we learned was that if you see something and the weather is decent, just do it. When you come back to it, the weather might have completely changed and you may have given up your only chance. This also applies to looking for the Northern Lights!
Northern Lights Fail
We didn’t do much tracking or research, so we ended up not seeing as much as we had hoped for on our last night in Reykjavik. Because we waited until our last day to try and spot them, we missed out on a way better day according to one of the other guys in our Airbnb who went out and came back with some amazing photos. So make sure you track it before / during your trip, and expect to travel to get a better view. Also, don’t be disappointed if you don’t see it as it can be such a fleeting sight!
Keflavik
Since we only scheduled our Blue Lagoon visit 2 weeks prior, we were BARELY able to get a spot at 1900 the night before our departure. The weather that day was forecast to get so bad that all the roads on our way back to Keflavik were going to be closed. We decided to cancel our last day in Reykjavik, and get another Airbnb closer to the airport. Since we got to Keflavik before our scheduled check in time, we decided to look around. We found that it’s not too touristy, and mostly contains fast food or bakeries. At one of these bakeries was our famous rental car disaster, but we also stumbled upon the Viking World Museum! We took shelter from the 70mph winds outside, and it turned out to be the most awesome, educative, and interactive museum I have been to. It had a full size ship and a walk through audio story that was all painted and told many stories.
The Blue Lagoon
Finally, we checked into our Airbnb and went to the Blue Lagoon. We thought if we arrived a little prior to our actual time, we might be able to get in early. However, with the weather that day everyone had arrived later than their time and created a huge line. That was a nightmare. Once we got to the check-in desk, we upgraded our tickets (which was totally worth it), and headed out to the vast pools.
There’s tons of space to swim around and relax while looking like a ghost with your facemasks on. Even at night, everything glows and it’s a beautiful sight to see; however I’m curious to know what it would be like in the daytime. Just getting in was a blessing anyways so no complaints from me! After that fantasticness, we slept and headed to the airport in the morning. Not very ready to go home, we dragged our feet on got on the plane back to sunny San Diego.
It’s a bummer you didn’t get to see the northern lights. I guess you have reason to come back, huh? Your 10 tips for a successful trip there sounds reasonable, especially because the country is expensive. We always try to eat out only once and find a hotel/Airbnb that served breakfast wherever we go.
Oh I have MANY reasons to go back! That’s a great tip for an included breakfast.
I did Iceland on a budget as well! Wow Air flight ($300!), AirBnB, cheapest rental car and we never ate out at a restaurant – hot dogs, groceries, and mac and cheese from Canada LOL. It was fun but I want to do Iceland in Luxury next! xo, Natalie http://nataliastyleblog.com
haha that’s the way to do it!! I would totally love to visit in luxury as well. I can only imagine how cool that would be!
Sounds like a great job! I’ve always wanted to go to Iceland and it’s good to see that you can actually do it on a budget. I’ve always wanted to swim in the Blue Lagoon!
It’s totally doable on a budget, just have to give up some certain things as with any of the pricier places. You absolutely MUST get there at some point. I highly suggest!
I love that you included your mistakes in this post and what you learned from them! I feel like I experienced the road trip right alongside you. The Whales of Iceland museum sounds interesting – I had no idea Iceland was home to so many kinds of whales!
What would be my point for posting if I wasn’t transparent about what I learned? Am I right? haha I’m so glad you got some value out of this post. I was super impressed by the amount of whales! Maybe a whale watching trip next time 😛
Great post! I booked flights to Iceland last week and we’ll definitely need to do this trip on a budget (if that’s possible in Iceland). Thanks for this, it’ll be useful!
Oh it’s definitely doable! We only had a few hundred dollars a piece and made it work. You’ll be alright! Have an absolute blast!
You’re so right about getting a car! It seems like a large extra expense, but it’s really the only option in Iceland. Sounds like you were able to get tons in, though, despite having to cut some out for budget (I remember being fairly unprepared for the cost of Iceland when I first went nearly 10 years ago). Glad you had a good time and can’t wait to read about your thoughts on visiting the DC-3 crash site as we didn’t make it out there!
It ended up being such a good money saver instead of paying for different tours and such. We had an absolute blast! The DC-3 crash site was a highlight for me for sure. You’ll definitely have to go next time!
Great story. I was recently there and one other way I found to save on a budget is to book a hotel that includes breakfast!
Ooh that’s a good one! Definitely cuts down on food costs!
Your first tip is something I do on just about all travel I do. Eating in restaurants is so expensive, and after a while I just want simple, healthy food anyway!
Right?! That’s why it’s number one! haha it’s just not worth doing for every meal, and I’m pretty sure my stomach thanks me too. We like simple.
Iceland has been on my list for a while and it sounds like you had an awesome time! Such a shame you missed the northern lights though, hope you manage to see them some day (and hope I do too). I’ve heard renting a car is the easiest way to see Iceland, whet were the roads like to drive?
Amazing pictures btw 🙂
Iceland is just so amazing! I can’t emphasize that enough. I’m pretty bummed about the lights, but we definitely know how to track them now! From our experience, most of the roads were very well kept, and easy to drive. Thanks! I enjoy photography a lot! 🙂
Such an amazing trip! The falls look gorgeus. I’d be really disappointed if I dont get to see the northern lights after traveling all the way from India, but I guess that’s just a matter of luck. Geothermal pools are fascinating. Great tips from your personal experience
Right?! It was such a bummer to not see them, but we’ll have better luck next time! Thank you!
Aw this sounded awesome. I have been to Iceland once but I want to go back, hire a car and see the real Iceland. I only went for 4 days and I didn’t even get to see the Northern Lights. Will keep your itineraries in mind for my next trip. Thanks for sharing.
It was absolutely amazing! I’m so glad you got value from this, and I hope you have a fantastic time when you go again!
Oooo a friend of mine visited Iceland this June and did a roadtrip around. He too mentioned that the food is abnormally expensive. But Iceland is a destination that I would pay any price for (your photos prove it too)! It is gorgeous in every inch you look!
Oh it was BEYOND worth it. Iceland is an absolute must and such a beautiful scene!
Nice guide! Im planning to go to iceland next year! You got pretty good tips here 🙂 thanks a bunch!
No problem! We had a blast and I hope you do too!
Nice tips! I can see the appeal of having a rental car since it makes your trip more flexible. Personally, though, I’m always nervous to drive in another country.
It was VERY nice to have for the road trips, but like you, Ashley was very uncomfortable driving out there so I did all of the driving. If you are unsure, I would say don’t do it! Also, most cars are manual transmission, so that’s another thing to think about!
I can’t wait to go to Iceland next year! I’m still going back and forth on if I want to rent a car though. Gas is so expensive!
Gas was pretty expensive, but we only filled up once because of our awesome planning!
mmmm! I’m sure that fresh cup of coffee Ashley enjoyed each day kept her super warm! This looks like quite the adventure.
Oh that was DEFINITELY her favorite part! It was such a great time.
Looks like you had an amazing time in Iceland. Was so drawn to your words about Laugarvatn Fontana and Blue Lagoon, I think I would enjoy those 😉
Oh it was absolutely fantastic! And the pools were to die for!
I’ve never hired a rental car when traveling and always used public transport or taxis. I may try it now though in a country with reasonable roads and infrastructure.
Same here! But for traveling outside of Reykjavik it was definitely useful, and a total blessing to see the sights on our own.
What a gorgeous trip, and your itineraries were so well planned as well. I’m always a little worried about driving in a different country and I can’t imagine driving in snow since I never have before. But organising your own tours does give you much more flexibility.
Thank you! We only planned the night before in most cases, but it worked out quite well! If you aren’t comfortable driving in a foreign country, then I don’t suggest getting a rental, but it wasn’t my first time so it was a breeze. Definitely worth the flexibility though!