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3-star hotels in Iceland
This shortlist gathers 15 3-star hotels across Iceland, from the Golden Circle to the Westfjords and the north coast. It suits couples, families and independent travellers who want guest ratings of 4.5 out of 5 and above, free car parking at most addresses, and easy access to Iceland's natural sights.
Staying in Iceland
Iceland is a country of contrasts, where geothermal areas, glaciers, waterfalls and long fjords sit within a few hours' drive of each other. Visitors come for the landscapes rather than city life, and a car makes the difference: the hotels on this list sit along the Golden Circle at Skólabraut and Brattholt, by Snæfells Glacier National Park, in the Westfjords at Bjarnarfjörður and Drangsnesvegur, and on northern or eastern routes such as Aðalbraut 2, Varmahlið Miðsitja and Smáratún. The rest stand in quieter countryside at Tunga, Bragðavellir, Þórdísarstaðir, Þingskálavegur and Holtabyggð.
Couples will find the private hot tub at Hvammur 2 Bjarg and the natural hot spring at Hótel Laugarhóll especially appealing, while families are served by family rooms at Magma Hotel and Bragdavellir Cottages, cots at most addresses, and self-catering kitchens or kitchenettes in the cottages. Business and short-break travellers get express check in at Magma Hotel, Hótel Gullfoss and Hótel Fljótshlíd, meeting and banquet space at Hótel Norðurljós and Hótel Kría, and 24-hour front desk service at Hótel Kría.
The shortlist
Ranked by hotel class, then guest rating and number of reviews.
Afternoon Cottages
Þingskálavegur, Iceland
Best for: Drivers
- Free car parking
- Kitchen
- Free Wifi
Why stay hereSelf-catering cottages with a kitchen or kitchenette and a garden, plus free car parking and free wifi, make Afternoon Cottages a practical base for guests who prefer to cook their own meals. The 3-star property in Þingskálavegur has earned a 4.9 guest rating from 228 reviews. It suits travellers in Iceland by car who want space and quiet rather than hotel services.
See Afternoon CottagesMagma Hotel
Tunga, Iceland
Best for: Families
- Family rooms
Why stay hereMagma Hotel in Tunga pairs a bar and a buffet with family rooms and express check in, so it works for families and for guests who want an easy arrival. The 3-star hotel holds a 4.8 guest rating across 552 reviews. A concierge is on hand for organising days out, and cots are available for younger children.
See Magma HotelBlue Hotel Fagrilundur On The Golden Circle
Skólabraut, Iceland
Best for: Drivers
- Free car parking
- Free Wifi
Why stay hereA jacuzzi and a garden give Blue Hotel Fagrilundur On The Golden Circle its appeal, and free car parking plus free wifi cover the essentials for drivers. Located on Skólabraut, this 3-star hotel is rated 4.8 by 496 guests. Families are catered for with cots and high chairs, and non smoking rooms are available.
See Blue Hotel Fagrilundur On The Golden CircleHotel Gullfoss
Brattholt, Iceland
Best for: Drivers
- Free car parking
- Free Wifi
Why stay hereHotel Gullfoss in Brattholt offers a bar and express check in alongside free wifi and free car parking, which suits guests touring the area by car. This 3-star hotel has a 4.6 guest rating from 493 reviews. A concierge can help with local arrangements, and cots are provided for families with small children.
See Hotel GullfossBragdavellir Cottages
Bragðavellir, Iceland
Best for: Families · Drivers
- Free car parking
- Breakfast
- Family rooms
Why stay hereBragdavellir Cottages combine family rooms and breakfast with air conditioning and a balcony, options that suit groups and families wanting more independence. The 3-star cottages at Bragðavellir hold a 4.6 guest rating from 231 reviews. Free wifi and free car parking are included, and each unit has a bathroom and coffee facilities.
See Bragdavellir CottagesHvammur 2 Bjarg with Private Hot Tub
Drangsnesvegur, Iceland
Best for: Drivers
- Free car parking
- Free Wifi
Why stay hereEach stay at Hvammur 2 Bjarg with Private Hot Tub comes with its own hot tub, and the property also offers a garden and fishing, making it a fit for couples or small groups after privacy in Drangsnesvegur. The 3-star accommodation is rated 4.8 by 65 guests. Free wifi and free car parking are provided, and units include a balcony, bath and hairdryer.
See Hvammur 2 Bjarg with Private Hot TubHótel Geysir
Iceland’s Golden Circle Iceland, Iceland
Best for: Drivers · Breakfast
- Parking
- Breakfast
- Wheelchair accessible
Why stay hereHótel Geysir keeps things simple for travellers on the Golden Circle with a restaurant, a bar and breakfast on site, plus parking and internet access. The 3-star hotel has a 4.5 guest rating from 1107 reviews. Multilingual staff and wheelchair accessible facilities add convenience, and a laundry service is available for longer stays.
See Hótel GeysirHótel Kría
Sléttuvegur 12 14, Iceland
Best for: Breakfast
- Breakfast
Why stay hereHótel Kría on Sléttuvegur suits guests who want round-the-clock service: a 24 hour front desk, 24 hour security and express check in are all in place. This 3-star hotel is rated 4.5 by 1082 guests. Breakfast and a bar are available, and rooms come with a bath, bathrobe and coffee facilities.
See Hótel KríaWelcome Hotel by Snæfells Glacier National Park
Klettsbúð 9, Iceland
Best for: Breakfast
- Breakfast
Why stay hereWelcome Hotel by Snæfells Glacier National Park offers a bar and buffet dining along with chess and board games, good for guests who like to linger indoors after a day out. The 3-star hotel at Klettsbúð 9 holds a 4.7 guest rating from 85 reviews. Breakfast is served, facilities for disabled guests are available, and a concierge can assist with plans.
See Welcome Hotel by Snæfells Glacier National ParkDis Cottages
Þórdísarstaðir, Iceland
Best for: Drivers · Step-free access
- Free car parking
- Wheelchair accessible
- Free Wifi
Why stay hereDis Cottages at Þórdísarstaðir appeal to guests who want outdoor activities on the doorstep, with fishing and horse back riding available. The 3-star cottages are rated 4.6 by 144 guests. A garden, terrace and picnic area provide places to relax, and free wifi, free car parking and a shuttle service make getting around straightforward.
See Dis CottagesHótel Fljótshlíd
Smáratún, Iceland
Best for: Breakfast
- Breakfast
Why stay hereHótel Fljótshlíd in Smáratún offers a bar, buffet breakfast and a fireplace, giving guests comfortable communal space in the evening. The 3-star hotel carries a 4.5 guest rating from 359 reviews. Express check in and a concierge help with arrivals and planning, and banquet facilities are available for events.
See Hótel FljótshlídHótel Norðurljós
Aðalbraut 2, Iceland
Best for: Drivers · Business trips
- Free car parking
- Free Wifi
Why stay hereAt Hótel Norðurljós in Aðalbraut 2, guests can hire bicycles and use the picnic area, an appealing mix for those who want to explore actively. The 3-star hotel is rated 4.6 by 105 guests. Fishing is available, along with free wifi and free car parking, and there is a meeting room plus laundry and dry cleaning services.
See Hótel NorðurljósHótel Laugarhóll with natural hot spring
Bjarnarfjörður, Iceland
Best for: Drivers
- Free car parking
- Free Wifi
Why stay hereHótel Laugarhóll with natural hot spring gives guests access to a natural hot spring, the standout reason to stay in Bjarnarfjörður. This 3-star hotel holds a 4.5 guest rating from 180 reviews. Desks, fans and free wifi are provided in the rooms, and free car parking and a laundry service add practicality for longer trips.
See Hótel Laugarhóll with natural hot springMosas cottages
Holtabyggð 110 Flúðir 1 3 4, Iceland
Best for: Drivers
- Free car parking
- Free Wifi
Why stay hereMosas cottages in Holtabyggð suit families and groups who want to self-cater, with a dishwasher and a balcony in the units. The 3-star cottages are rated 4.7 by 60 guests. Express check in and a garden are on offer, along with free wifi and free car parking. Cots are available for guests travelling with infants.
See Mosas cottagesMidsitja
Varmahlið Miðsitja, Iceland
Best for: Drivers · Breakfast
- Free car parking
- Breakfast in room
- Free Wifi
Why stay hereMidsitja in Varmahlið is a small 3-star guesthouse with a 4.8 rating from 45 reviews, best for travellers who prefer a quiet, low-key stay. Breakfast can be served in the room, and the property has a garden plus free wifi and free car parking. Non smoking rooms, desks and hairdryers are provided.
See Midsitja
The shortlist side by side
| Hotel | Class | Guest rating | Reviews | Parking | Breakfast |
|---|---|---|---|---|---|
| Afternoon Cottages | ★★★ | 4.9 | 228 | Yes | – |
| Magma Hotel | ★★★ | 4.8 | 552 | – | – |
| Blue Hotel Fagrilundur On The Golden Circle | ★★★ | 4.8 | 496 | Yes | – |
| Hotel Gullfoss | ★★★ | 4.6 | 493 | Yes | – |
| Bragdavellir Cottages | ★★★ | 4.6 | 231 | Yes | Yes |
| Hvammur 2 Bjarg with Private Hot Tub | ★★★ | 4.8 | 65 | Yes | – |
| Hótel Geysir | ★★★ | 4.5 | 1,107 | Yes | Yes |
| Hótel Kría | ★★★ | 4.5 | 1,082 | – | Yes |
| Welcome Hotel by Snæfells Glacier National Park | ★★★ | 4.7 | 85 | – | Yes |
| Dis Cottages | ★★★ | 4.6 | 144 | Yes | – |
| Hótel Fljótshlíd | ★★★ | 4.5 | 359 | – | Yes |
| Hótel Norðurljós | ★★★ | 4.6 | 105 | Yes | – |
| Hótel Laugarhóll with natural hot spring | ★★★ | 4.5 | 180 | Yes | – |
| Mosas cottages | ★★★ | 4.7 | 60 | Yes | – |
| Midsitja | ★★★ | 4.8 | 45 | Yes | Yes |
From each hotel's own listing on this site; a dash means it is not listed.
How to choose
For top guest ratings
Afternoon Cottages leads with 4.9 out of 5 from 228 reviews, followed by Magma Hotel, Blue Hotel Fagrilundur On The Golden Circle and Hvammur 2 Bjarg with Private Hot Tub on 4.8, and Midsitja also on 4.8. All five combine a high score with a small or moderate review count, so the rating reflects a consistent guest experience rather than a single season.
Afternoon Cottages · Magma Hotel · Blue Hotel Fagrilundur On The Golden Circle · Hvammur 2 Bjarg with Private Hot Tub · Midsitja
For families
Magma Hotel lists family rooms and a cot, Bragdavellir Cottages adds family rooms, breakfast and air conditioning, and Blue Hotel Fagrilundur On The Golden Circle provides cots, high chairs and a jacuzzi. Afternoon Cottages gives families a kitchen and kitchenette for self-catering. All four have free car parking.
Magma Hotel · Bragdavellir Cottages · Blue Hotel Fagrilundur On The Golden Circle · Afternoon Cottages
For couples
Hvammur 2 Bjarg with Private Hot Tub offers a balcony, a bath and a private hot tub, while Hótel Laugarhóll with natural hot spring has a bath and its own hot spring. Mosas cottages and Dis Cottages are quieter countryside bases, both with gardens and free car parking, and Dis Cottages adds a terrace and picnic area for two.
Hvammur 2 Bjarg with Private Hot Tub · Hótel Laugarhóll with natural hot spring · Mosas cottages · Dis Cottages
For business and groups
Hótel Kría has a 24-hour front desk, 24-hour security and banquet space, and Hótel Norðurljós offers a meeting room, banquet facilities, laundry and dry cleaning. Hótel Geysir provides a restaurant, bar, laundry service and wheelchair access, and Hótel Fljótshlíd adds banquet space, express check in and a fireplace for group gatherings.
Hótel Kría · Hótel Norðurljós · Hótel Geysir · Hótel Fljótshlíd
Things to do near Iceland
- 48 Hours in Iceland: A Realistic Two-Day Plan for First-Timers
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- Accessible Hotels in Iceland, Ranked
- Adults-only hotels in Iceland
- Akranes: A Practical Stop on Iceland's West Coast
- Akranes with Kids: A Practical Family Guide to Iceland's West Coast Town
- Akureyri with Kids: A Practical Family Base in North Iceland
- Aurora Hunting in October: Where to Base Yourself in Iceland
Questions, answered
Which of these hotels is closest to the centre?
The listed addresses are countryside locations rather than town centres, so proximity depends on your route: Hótel Kría at Sléttuvegur 12 14, Mosas cottages at Holtabyggð in Flúðir, and Hótel Norðurljós at Aðalbraut 2 are the street addresses named. Compare them against your itinerary stops before booking.
Do these hotels have free parking?
Free car parking is listed at Afternoon Cottages, Blue Hotel Fagrilundur On The Golden Circle, Hótel Gullfoss, Bragdavellir Cottages, Hvammur 2 Bjarg with Private Hot Tub, Dis Cottages, Hótel Norðurljós, Hótel Laugarhóll with natural hot spring, Mosas cottages and Midsitja. Hótel Geysir lists parking rather than free car parking, so confirm when booking.
Which hotels are best for families with children?
Magma Hotel lists family rooms and a cot, Bragdavellir Cottages lists family rooms, breakfast and cots, and Blue Hotel Fagrilundur On The Golden Circle lists cots and high chairs. Afternoon Cottages adds a kitchen and kitchenette. These four have free car parking, which helps on family road trips.
Do any of these hotels have a pool or hot tub?
Hvammur 2 Bjarg with Private Hot Tub has a private hot tub, and Hótel Laugarhóll with natural hot spring has its own natural hot spring. Blue Hotel Fagrilundur On The Golden Circle lists a jacuzzi. No swimming pool is listed at any of the 15 hotels on this shortlist.
Can I bring a pet?
None of the 15 hotels lists pets among its facilities, so none can be confirmed as pet-friendly here. If you travel with a pet, contact the property directly before booking and ask about its policy.
Which hotel has the highest guest rating?
Afternoon Cottages is top-rated at 4.9 out of 5 from 228 reviews. Magma Hotel, Blue Hotel Fagrilundur On The Golden Circle, Hvammur 2 Bjarg with Private Hot Tub and Midsitja all score 4.8, while Welcome Hotel by Snæfells Glacier National Park and Mosas cottages score 4.7.
Do any of these hotels serve breakfast?
Bragdavellir Cottages and Hótel Kría list breakfast, Hótel Geysir and Hótel Fljótshlíd list breakfast and a restaurant or buffet, Magma Hotel lists a buffet, Welcome Hotel by Snæfells Glacier National Park lists breakfast and a buffet, and Midsitja offers breakfast in room.