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★★ Hoefn · Iceland
Old Cottage Reynivellir II
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Old Cottage Reynivellir II

Reynivellir, Hoefn, Iceland

Old Cottage Reynivellir II is a budget-friendly stay in Hoefn, Iceland — a no-frills base for seeing Jokulsarlon Glacier Lagoon and the rest of the area affordably.

The surrounding Hoefn district is one of the most convenient parts of Iceland to stay in, with restaurants, cafés and transport links close by.

Because pricing is set live by the hotel and its suppliers, the figure shown here is a recent snapshot; check the current rate for your exact dates before booking.

Key facts

Class
2-star
Area
Hoefn
Address
Reynivellir, Hoefn, Iceland

What’s included

Balcony Bathroom Buffet Cleaning Coffee Concierge Cot Desk Dvd Family rooms Free Wifi Free car parking

How many nights in Iceland and a first-timer itinerary

Five nights is the practical minimum: two in Reykjavik for the city, Golden Circle and Blue Lagoon, then three moving along the south coast to Vik and Jokulsarlon before looping back. Seven to eight nights lets you add Snaefellsnes from Stykkisholmur or push to Hofn and fly back from there. Ten to twelve nights is what a full Ring Road needs at a sensible pace, sleeping in Vik, Hofn, Egilsstadir or Seydisfjordur, Myvatn, Akureyri and Borgarnes.

The Westfjords and Isafjordur need three extra nights on top of any Ring Road plan because the detour from Route 1 is 6-7 hours each way. Landmannalaugar is a day trip from Reykjavik in a super-jeep or a two-night hut stay in July-August only. Do not try to fit Husavik whale watching, Myvatn and Dettifoss into a single day from Akureyri; it's a 350 km loop and the road to Dettifoss is gravel.

What Iceland hotels actually cost per night

Budget in Iceland means 12,000-18,000 ISK for a guesthouse room with shared bathroom in Selfoss, Hveragerdi or Borgarnes, or a hostel private in Reykjavik's 101. Mid-range is 22,000-38,000 ISK for a three-star with private bathroom and breakfast, which covers most of Fosshotel, Icelandair Hotels and Kea Hotels in Akureyri, Myvatn, Vik and Hofn. Top-end runs 55,000-120,000 ISK: think Ion Adventure near Thingvellir, Deplar Farm, or the Retreat at Blue Lagoon in Grindavik.

Rates spike three times a year: mid-June to mid-August across the whole country, 27 December to 3 January in Reykjavik for New Year, and any Iceland Airwaves weekend in early November for 101 hotels. Rural areas like Vik, Hofn and Myvatn have limited inventory and often sell out for July by February, which is why the same room can be 25,000 ISK in May and 55,000 ISK in July.

The booking trap: Keflavik is not Reykjavik, and other Iceland-specific mistakes

Keflavik and Reykjanesbaer are 47 km from central Reykjavik, roughly 50 minutes by Flybus, and staying there to save money only works if you have a very early or very late flight. Every year people book a "Reykjavik" hotel that turns out to be in Kopavogur or Mosfellsbaer, which is fine but not walkable to Laugavegur, so check the postcode: 101, 105 and 107 are central, anything else is a bus ride. Grindavik has been affected by volcanic activity on the Reykjanes peninsula since 2023 and some hotels there have closed or relocated, so verify current status before booking.

The season nobody expects is late August to mid-September, which has aurora, open highland roads until early September, and rates already 20-30% below July. The area people wrongly skip is the east: Egilsstadir and Seydisfjordur are 650 km from Reykjavik but the Faroese ferry Norrona docks in Seydisfjordur, and the fjord itself is one of the quietest places on Route 1. Do not book a 2WD for a Ring Road trip between October and May; the Oxi pass and the road over Hellisheidi close without warning.

Questions, answered

Where is Old Cottage Reynivellir II located?
Old Cottage Reynivellir II is in Hoefn, Iceland (Reynivellir, Hoefn, Iceland), close to Jokulsarlon Glacier Lagoon.
How much does Old Cottage Reynivellir II cost per night?
Prices are set live by the hotel — check the booking page for a real rate for your dates.
How many stars is Old Cottage Reynivellir II?
Old Cottage Reynivellir II is a 2-star hotel in Iceland.
Is it safe to stay in Grindavik with the volcanic activity?
Grindavik town itself has been largely evacuated since late 2023 due to eruptions on the Reykjanes peninsula, and some hotels have closed while others have reopened depending on current activity. The Blue Lagoon and the Retreat have reopened and closed several times based on Icelandic Met Office assessments. Always check the status on the day before booking, and consider staying in Reykjanesbaer or Keflavik (15-20 km away) instead. Flights in and out of Keflavik airport, 20 km north of Grindavik, have not been affected.
What's the best area to stay in Reykjavik?
The 101 postcode, covering Laugavegur, Bankastraeti and the area around Hallgrimskirkja and Tjornin lake, is the best base for a first visit. Everything walkable, from Harpa concert hall to the harbour where whale watching boats leave, sits within 15 minutes on foot. 105 and 107 are quieter residential extensions still within walking distance, while 108 (near Kringlan mall) and Kopavogur need a bus. Expect 101 hotels to run 30,000-45,000 ISK in summer for a mid-range double.
What's the cheapest month to visit Iceland?
October, November and January are the cheapest, with Reykjavik mid-range rates dropping to around 18,000-25,000 ISK compared to 35,000+ in July. You get northern lights and often ice cave access from November onwards, but shorter days: 4-5 hours of daylight in December around Reykjavik. Avoid the New Year window from 27 December to 3 January, when prices jump back to summer levels. February is nearly as cheap and has more daylight than December.
How many nights do I need in Iceland?
Five nights is the realistic minimum to see Reykjavik, the Golden Circle and the south coast as far as Jokulsarlon. Seven nights lets you add Snaefellsnes from Stykkisholmur or reach Hofn comfortably. Ten to twelve nights covers the full 1,332 km Ring Road with stops in Vik, Hofn, Myvatn and Akureyri. Add three more nights if you want the Westfjords and Isafjordur, which is a 455 km detour from Reykjavik.
How do I get from Keflavik airport to Reykjavik?
The Flybus and Airport Direct coaches run to BSI terminal in Reykjavik in about 50 minutes and cost 3,999-4,499 ISK one way, timed to every arriving flight. A taxi is 20,000-25,000 ISK for the 47 km, and hire cars are picked up from lots a short shuttle from the terminal. There is no train. If your flight lands after midnight, the Flybus still runs; it's the most reliable option in winter weather.
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