Car Rental Keflavik

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Top Car Deals in Keflavik

* Price found within the past 6 days. Click for updated prices.

Economy

Chevrolet Spark
  • 4 people
Keflavik, Southern Peninsula, ISL
Chevrolet Spark
Economy Chevrolet Spark

Compact

Ford Focus
  • 4 people
Keflavik, Southern Peninsula, ISL
Ford Focus
Compact Ford Focus

Midsize

Toyota Corolla
  • 5 people
Keflavik, Southern Peninsula, ISL
Toyota Corolla
Midsize Toyota Corolla

SUV

Jeep Compass
  • 5 people
Keflavik, Southern Peninsula, ISL
Jeep Compass
SUV Jeep Compass

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What you need to know for your Keflavik car rental

Reasons to book a car rental in and around Keflavik

Renting a car in Keflavik offers travelers the freedom and flexibility to explore at their own pace. This charming village serves as an excellent base for discovering nearby attractions, such as the Icelandic Museum of Rock 'n' Roll and the Reykjanes Art Museum, both located in the area. With a rental car, you can conveniently manage your luggage and create flexible travel plans that suit your itinerary. Families and eco-conscious travelers will find this option appealing, as it allows for outdoor adventures without the constraints of public transportation. You can easily venture to surrounding cities like Njardvik and Ásbrú, both just 2 miles away, where additional sights like the Viking World Museum, Reykjanes Heritage Museum, and Reykjanesviti await. The ability to explore these destinations on your own terms enhances your overall experience in Iceland. Whether you're interested in culture, history, or breathtaking landscapes, having a rental car ensures you can visit these remarkable sites comfortably and efficiently, making your trip memorable and enjoyable.

Most popular car rentals in Keflavik

  • Economy SUV: This popular choice accommodates 5 travelers and up to 3 large suitcases, making it ideal for budget-conscious travelers, families, couples, and adventure seekers. The Economy SUV offers the perfect blend of space and affordability, allowing you to explore Keflavik and its surroundings comfortably without breaking the bank.
  • Midsize SUV AWD: Accommodating 5 travelers and up to 3 large suitcases, the Midsize SUV AWD is a versatile option for families, couples, or small groups. With all-wheel drive capabilities, this vehicle provides added confidence on various terrains, making it suitable for your travels in the diverse landscapes of Keflavik and beyond.
  • Compact SUV: Perfect for solo travelers, couples, or families, the Compact SUV accommodates 5 travelers and up to 3 medium suitcases. This car option is ideal for those looking for a more manageable size while still providing comfort and sufficient space for luggage. Its agility makes it easier to navigate the urban areas of Keflavik while still being ready for spontaneous adventures.

Top rated car suppliers in Keflavik

  • Enterprise: Enterprise features 2 rental locations in the Keflavik area, making it a convenient choice for travelers. Customers particularly appreciate the flexibility in rental options and the attentive service from staff. The most booked cars with Enterprise are the Midsize SUV AWD and Economy SUV, which are ideal for navigating the diverse Icelandic terrain. With a reputation for reliability and a focus on customer satisfaction, Enterprise is a solid option for those looking to explore Keflavik and beyond.
  • Alamo Rent A Car: Alamo also operates 2 rental locations in Keflavik, providing convenient access for visitors. Renowned for its efficient service and well-maintained vehicles, Alamo is a favorite among travelers. The Midsize SUV AWD and Economy SUV are their most popular choices, perfect for enjoying Iceland's stunning landscapes. Alamo's commitment to customer satisfaction and streamlined processes make it a top contender for car rentals in the area.
  • Dollar Rent A Car: With 1 rental location in Keflavik, Dollar Rent A Car offers a straightforward rental experience for tourists. Travelers often choose Dollar for its good selection of vehicles, particularly the Midsize SUV and Standard SUV, which cater well to varying travel needs. Customers appreciate the manageable pickup process and the convenience of having a rental option nearby. Dollar's focus on providing value and ease makes it a practical choice for exploring the Southern Peninsula.

Where to stay around Keflavik

  • Keflavik: As the largest town in Reykjanesbær, Keflavik offers a variety of accommodations and is close to popular attractions such as the Viking World Museum and Reykjanesviti monument. Visitors can also enjoy local dining options, including cafes and restaurants, making it a convenient base for exploring the Southern Peninsula. The nearby hotspring and lagoon provide opportunities for relaxation after a day of adventure.
  • Njardvik: Located 2 miles away from Keflavik, Njardvik is a charming village perfect for families and eco-conscious travelers. It features attractions like The Icelandic Museum of Rock 'n' Roll and the Reykjanes Heritage Museum. Visitors can explore the local parks and mountains, and enjoy wellness activities at nearby spas. The dining scene offers several restaurant options, enhancing the overall experience.
  • Ásbrú: Also situated 2 miles from Keflavik, Ásbrú is a quaint village that provides easy access to cultural highlights such as the Viking World Museum and The Icelandic Museum of Rock 'n' Roll. This area is ideal for those seeking a peaceful atmosphere, with access to natural landscapes and local parks. The close-knit community vibe complements the nearby attractions, making it an appealing choice for travelers looking for a unique stay.

10 tips to save on your car rental in and around Keflavik

  1. Use filters to find the right car: Refine your search by vehicle type and features. Whether you're looking for an SUV for extra space, a convertible for summer fun, or an economical car for budget savings, utilize the filters on Expedia to discover the best option for your journey.
  2. Book in advance to help lower costs: Rental prices can vary based on demand, so it's advisable to reserve your vehicle well ahead of your trip. By booking early, you're more likely to access lower rates and better availability, especially during peak travel seasons.
  3. Consider a smaller car for savings: Smaller vehicles typically cost less to rent and are easier to park in crowded areas. Mid-size rentals strike a good balance between price, comfort, and fuel efficiency.
  4. Age guidelines: Drivers under 30 may encounter higher deposits or daily surcharges, and certain types of vehicles—like SUVs or premium models—might not be available. This can also apply to renters over 70. Always verify the age requirements before making a booking.
  5. Check fuel policies: Some rental agreements require a full-to-full fuel policy, meaning you need to return the car with a full tank to avoid extra fees. This is often the best option. Others may provide full-to-empty or prepaid fueling alternatives, which are acceptable as well. Just make sure to return the car empty in that case.
  6. Save on city and airport pickups: Picking up your rental car at airports often incurs a surcharge, but the convenience might make it worthwhile.
  7. Know your payment options: Many car rental companies only accept credit cards as a form of payment.
  8. Understand your insurance coverage: Car rental insurance can help shield you from unexpected costs and provide peace of mind if something unforeseen occurs during your trip. Adding car rental insurance when booking through Expedia is a simple process.
  9. Consider unlimited mileage: If you're planning extensive road trips, seek rentals that offer unlimited mileage to steer clear of additional charges.
  10. Bring your driver's license and ID: A valid driver's license is necessary to rent a car.

Best time to rent a car in and around Keflavik

The best value period to rent a car in and around Keflavik is March, when prices are slightly low and demand is average. Following closely are April and November, which also offer good rates with moderate demand. However, the summer months from June to August see prices rise and demand peak, making them the most expensive time to rent a car. July, in particular, is busy, while June and August also experience high demand levels.

 

calendar iconCalendar Monthtemperature iconTemperaturerain iconPrecipitationmostly cloudy iconCloudinessoccupation rate iconDemandprice iconPricing
January36.5°F (2.5°C)Light RainMostly CloudyLowAverage
February36.7°F (2.6°C)Light RainMostly CloudyLowAverage
March36.7°F (2.6°C)Light RainMostly CloudyAverageSlightly Low
April40.1°F (4.5°C)Light RainMostly CloudyAverageSlightly Low
May43.9°F (6.6°C)Light RainMostly CloudyAverageAverage
June48.7°F (9.3°C)Light RainMostly CloudyHighSlightly High
July52.0°F (11.1°C)Light RainMostly CloudyHighSlightly High
August52.0°F (11.1°C)Light RainMostly CloudyHighSlightly High
September48.7°F (9.3°C)Light RainMostly CloudyAverageAverage
October43.9°F (6.6°C)Light RainMostly CloudyAverageAverage
November40.1°F (4.5°C)Light RainMostly CloudyAverageSlightly Low
December36.1°F (2.3°C)Light RainMostly CloudyLowAverage

Finding the cheapest car rentals in Keflavik

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If the deals that are available on our page do not suit your needs, then enter Keflavik into the search wizard at the top of the page. We will compare all the best deals available for your car rental in Keflavik and provide you with a list of the cheapest options, with no added fees.

Renting a car in Keflavik

Pay at pickup is available, so you don’t have to worry about spending your money until you arrive at your vehicle in Keflavik. We partner with reliable partners that guarantee an enjoyable experience for solo travelers, couples, and families. Package your car with a flight or hotel to unlock even more savings from Expedia.

Expected prices in Keflavik

Prices are subject to seasonal change depending on when you decide to arrange your car rental but right now you can book .

Flexibility & Cancellation

Most car suppliers offer penalty-free cancellations, so you don’t have to worry about losing money if your plans change. To cancel your booking log into your account through the Trips portal. Click manage booking and cancel this car. If you needed to alter your booking, then you can create a new one once you have canceled.

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Car classes available from Expedia in 2026

The classes of vehicles available will change depending on your chosen location.

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Frequently asked questions

What are the best cheap car rental companies in Keflavik?
You can find cheap car rentals in Keflavik from $13 a day with Alamo Rent A Car's compact 4-5 door cars. Sixt provides mini 4-5 door cars starting from $16 a day, while Thrifty Car Rental has mini 2-3 door cars available from $20 a day. These providers offer competitive rates for travelers seeking good value for their budget in Keflavik. For more options, explore Economy Car Rentals in Keflavik.
What are the best luxury car companies in Keflavik?
For luxury car rentals in Keflavik, you can find premium options through providers like Dollar Rent A Car and Sixt. Dollar Rent A Car offers luxury passenger vans starting from $81 a day, providing ample space and comfort. Sixt also features options such as fullsize elite SUVs starting from $82 a day, which are ideal for travelers seeking a high-end driving experience. These luxury vehicles offer enhanced comfort and features for a more premium trip in Keflavik. For more options, explore Luxury Car Rentals in Keflavik.
Can I rent a car one-way in Keflavik?
Yes, one-way car rentals in Keflavik are available, offering flexibility for travelers who wish to pick up their vehicle in Keflavik and drop it off at a different location. Prices for one-way rentals start from $25 a day. Providers like Sixt and Thrifty Car Rental offer one-way options, which can be convenient for planning a road trip across Iceland without needing to return to your starting point. For more options, explore Standard Car Rentals in Keflavik.
Can I rent a car round-trip in Keflavik?
Yes, round-trip car rentals are readily available in Keflavik and are often the most cost-effective choice, with prices starting from $13 a day. Picking up and dropping off your rental car at the same location in Keflavik helps avoid potential one-way drop-off fees. This option is ideal for exploring nearby attractions such as:
  • Blue Lagoon, approximately 11 miles away
  • Sky Lagoon, Kópavogur, approximately 25 miles away
  • Kirkjufell Mountain, approximately 83 miles away
Providers like Sixt and Thrifty Car Rental offer extensive round-trip availability, making it easy to plan your itinerary and return your vehicle conveniently. For more options, explore Fullsize Car Rentals in Keflavik.

What are the best car rentals in Keflavik?
Car rentals in Keflavik offer a wide range of vehicle types to suit various travel needs. The most popular car classes available include:
  • Mini 4-5 door
  • Economy 4-5 door
  • Compact SUV
  • Compact crossover
  • Midsize crossover
These options cater to different group sizes and preferences. For instance, mini and economy cars are excellent for solo travelers or couples seeking fuel efficiency and easy city navigation. Families or groups often prefer SUVs or crossovers for their extra space, comfort, and luggage capacity. Both automatic and manual transmissions are available, allowing you to choose based on your driving preference. For more options, explore Minivan Car Rentals in Keflavik.

What are the best car rentals in Keflavik for solo travelers?
The best car rentals in Keflavik for solo travelers are typically smaller, fuel-efficient options that are easy to maneuver and park.
  • Mini cars, starting from $16 a day, are ideal for up to 4 people and 2 small suitcases, offering excellent fuel efficiency and ease of parking in urban areas.
  • Economy cars, starting from $21 a day, can accommodate up to 5 people and 2 medium suitcases, providing a bit more space while remaining budget-friendly.
Both mini and economy cars are perfect for a solo traveler exploring Keflavik and its surroundings. If you plan longer drives to destinations like Blue Lagoon, approximately 11 miles away, considering a compact SUV starting from $30 a day could offer enhanced comfort and a higher ride. For more options, explore Compact Car Rentals in Keflavik.

What are the best car rentals in Keflavik for couples?
The best car rentals in Keflavik for couples offer a balance of comfort, space, and ease of handling for two travelers.
  • Midsize elite crossover cars, starting from $27 a day, provide comfortable seating for up to 5 people and ample space for up to 3 large suitcases, making them suitable for longer drives.
  • Compact SUVs, available from $30 a day, also accommodate up to 5 people and 3 medium suitcases, offering a higher driving position and versatility for exploring the region.
These vehicle types ensure a comfortable experience for couples, with enough room for luggage and souvenirs. For scenic drives around Keflavik, such as to the Blue Lagoon, approximately 11 miles away, these options provide a smooth and enjoyable journey. For more options, explore Midsize Car Rentals in Keflavik.

What are the best car rentals in Keflavik for families?
The best car rentals in Keflavik for families prioritize space, comfort, and safety for all passengers and their luggage.
  • Midsize SUVs, starting from $33 a day, are an excellent choice, seating up to 5 people with room for 3 large suitcases, making them suitable for families with car seats and strollers.
  • Compact passenger vans, available from $41 a day, offer even more space, accommodating up to 8 people and 6 large suitcases, ideal for larger families or those with significant luggage needs.
These vehicles provide the necessary room for family trips around Keflavik. It is advisable to book family-sized vehicles 4 or more weeks in advance, especially for travel during the peak months of July and August, as demand can be high. For more options, explore SUV Car Rentals in Keflavik.

Are there any car rental companies that provide electric cars in Keflavik?
Yes, several car rental companies in Keflavik offer electric and hybrid vehicle options. Europcar provides hybrid plug-in vehicles starting from $13 a day. Dollar Rent A Car also offers hybrid plug-in options from $13 a day, as well as hybrid vehicles starting from $22 a day. Thrifty Car Rental and Enterprise also have hybrid plug-in options available from $13 a day. These options allow travelers to choose more fuel-efficient vehicles for their journey in Keflavik.
What is the best time to book a car in Keflavik?
The best time to book a car rental in Keflavik depends on your travel dates, with prices typically lower from January. During this period, rentals can start from as little as $16 a day. July tends to be the busiest month, along with August, when high demand can lead to higher prices. Demand often climbs as travelers head to popular spots and activities such as:
  • Blue Lagoon, Grindavik
  • Sky Lagoon, Kópavogur
  • Kirkjufell Mountain, Grundarfjörður
  • Iceland South Coast Full Day Small-Group Tour from Reykjavik
  • Full-Day Golden Circle Classic Tour with Expert Guide
Booking 3-4 weeks ahead can help secure better availability and pricing, especially during peak travel times. Many bookings offer free cancellation, allowing you to book early and rebook if rates become more favorable.

What are the best car companies in Keflavik?
Car rentals in Keflavik are available from a variety of reputable providers, including Europcar, Dollar Rent A Car, and Thrifty Car Rental, each offering vehicles suited to local roads and conditions. Europcar provides options like mini 4-5 door cars for easy city navigation and compact SUVs for more rugged terrain. Dollar Rent A Car offers economy 4-5 door cars for budget-conscious travelers and midsize SUVs for added comfort and space. Thrifty Car Rental rounds out the choices with mini 2-3 door cars and compact SUVs. When choosing, consider a higher-clearance or all-wheel-drive class for exploring diverse landscapes, or a compact class for easy maneuvering and better fuel efficiency on paved roads. For more options, explore Premium Car Rentals in Keflavik.
What are good day trip destinations from Keflavik by rental car?
Keflavik serves as an excellent base for exploring several captivating day trip destinations by rental car. Top destinations within easy reach include:
  • Blue Lagoon, Grindavik, approximately 11 miles away—perfect for a relaxing spa experience.
  • Sky Lagoon, Kópavogur, approximately 25 miles away—offering stunning ocean views and geothermal baths.
  • Viking Village, Hafnarfjordur, approximately 23 miles away—a cultural experience for families and history enthusiasts.
  • Reykjanesviti, Reykjanesbær, approximately 17 miles away—Iceland's oldest lighthouse, great for scenic views.
  • Kirkjufell Mountain, Grundarfjörður, approximately 83 miles away—an iconic landmark ideal for photographers and nature lovers.
For these trips, a midsize car or a compact SUV offers a comfortable balance of space and maneuverability. Always ensure your fuel tank is full before embarking on longer journeys, and check local road conditions, especially when heading to more remote areas. For more options, explore Convertible Car Rentals in Keflavik.

Are there any hidden fees when renting a car on Expedia?
Expedia aims to show the key price and important rental details clearly during booking, so you know what to expect before you reserve. In some cases, car rental companies may apply additional charges at pick-up or during the rental, such as security deposits, tolls, fuel charges, extra driver fees, or local requirements, so it's worth checking the supplier's rental terms before you book.
Are there any long-term car rentals in Keflavik?
Yes, there are several long-term car rental options available in Keflavik. Whether you're planning an extended holiday with the family, relocating temporarily, or simply need a vehicle for several weeks or months, many car rental providers offer flexible long-term rental plans tailored to your needs. Click on our long-term car rental deals page, enter your trip information and then book a ride that suits.
Do you need insurance to rent a car in Keflavik?
No, you don't need personal auto insurance to rent a car in most cases. You will, however, be required to purchase some insurance to cover the duration of the rental. Rental companies will offer this insurance when you rent the car. Certain personal car insurance policies can also be applied to rental cars, and travelers can even use non-owner car insurance if they rent cars often but don't have a car of their own. Additionally, some car rentals simply include rental car insurance within the price of the rental.
How much does it cost to rent a car in Keflavik?
Budget car rental in Keflavik can be easy to find, with prices based on rates seen within the past seven days . To find some of the cheapest options, sort your search results by price and use filters to match your budget and travel needs. For added flexibility, it's also worth exploring one-way car rentals.
What are the top car rental deals in Keflavik?
No matter what kind of vehicle you're looking for, Expedia makes it easy to find a great car rental deal in Keflavik. The easiest way to get a good deal on a rental car is to use our filters. At the top of the filter list, you'll find a section featuring our best car rental offers. Check the filter for "Great Deal," and your search results will be filled with specials. Compare offers from trusted rental providers, choose the option that fits your trip, and book with confidence. For even more value, bundle your Keflavik car rental with a hotel or flight to unlock additional savings.
What do I need to rent a car in Keflavik?
To rent a car in Keflavik, a current driver's license and a credit card in the same name are essential. If you're opting out of the company's insurance plan, then you may also need proof of other coverage. Rules may differ between rental companies, so read through your policy.
What happens if I need to cancel my Keflavik car rental?
If you need to cancel your Keflavik car rental, read over the policy to be sure, but almost all prepaid rentals are eligible for a complete refund if you notify us at least six hours prior to the pickup time, though there may be some exclusions so check your itinerary for more information, or just click through to our Customer Service Portal.
Why should I rent a car in Keflavik with Expedia?
Booking your car rental on Expedia makes it easier to get more out of your trip from the start. With a wide choice of car rentals, you can compare prices, suppliers and deals all in one place, then bundle your car with a hotel which could help you save even more. Join our free One Key™ travel rewards program to instantly unlock additional savings.

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