$120 Car Rental Reykjavik

Reasons to book a car rental in and around Reykjavik

Renting a car in Reykjavik provides adventure seekers, nature lovers, and families with the freedom to explore the city and its surroundings at their own pace. With a rental vehicle, you can easily manage your luggage and have the flexibility to create your own travel itinerary. Drive to the scenic Reykjavik Harbour, where you can enjoy beautiful views and beach experiences, or visit Laugavegur, a vibrant street perfect for city exploration. Harpa, a well-known event venue, is also conveniently accessible by car.

Moreover, a rental car allows for easy access to popular neighborhoods in Reykjavik. Explore Downtown Reykjavik, which features key attractions like Hallgrimskirkja, or venture into Vesturbær to see the University of Iceland and partake in whale watching with Elding. For those interested in outdoor experiences, Laugardalur offers the Grasagardur Botanical Garden and the sports complex of Laugardalsholl. Whether you are traveling with family or seeking an eco-friendly adventure, renting a car in Reykjavik enhances your travel experience through convenience and flexibility.

Most popular car rentals in Reykjavik

• Economy: This car option comfortably fits 5 travelers along with up to 2 medium suitcases. The economy car is an excellent choice for solo travelers, couples, or families looking to explore Reykjavik. With its compact size, it is easy to maneuver through city streets and offers great fuel efficiency, making it a practical and cost-effective option for those who want to enjoy the freedom of the open road.
• Mini: Perfect for up to 4 travelers and 2 small suitcases, the mini car is ideal for solo adventurers or couples seeking a cozy and efficient ride. Its small size makes it easy to park and navigate through Reykjavik’s urban environment, allowing for a hassle-free experience as you explore the area. This option is great for those who value simplicity and convenience in their travels.
• Midsize SUV AWD: Accommodating up to 5 travelers and up to 3 large suitcases, the midsize SUV with all-wheel drive is an excellent choice for families, couples, or small groups. This vehicle provides ample space and comfort for longer journeys around Reykjavik, making it suitable for those who prioritize comfort and flexibility. Its capability to handle various terrains adds an extra layer of adventure to your exploration of Iceland’s stunning landscapes.

Top rated car suppliers in Reykjavik

• Enterprise: Enterprise is a popular choice among travelers in Reykjavik, known for its friendly service and convenient location. With one rental location in the area, they provide a hassle-free experience for visitors. The most booked vehicles include the Midsize SUV AWD and Economy SUV, making it an excellent option for those looking to explore the stunning landscapes of Iceland with comfort and reliability.
• Europcar: Europcar stands out with three rental locations in Reykjavik, offering travelers flexibility and convenience. Customers frequently choose their Midsize SUV AWD and Mini vehicles, which are ideal for navigating both urban settings and Iceland's breathtaking natural scenery. The company is well-regarded for its efficient service, making it easy to pick up and drop off your rental as you explore.
• Hertz: Hertz is another leading car rental supplier in Reykjavik, featuring two rental locations for easy access. Travelers often select their Midsize SUV and Economy vehicles, which cater to various travel needs. Hertz is known for its reliable service and well-maintained cars, ensuring a smooth and enjoyable driving experience as you venture around the captivating sights of Iceland.

Where to go in Reykjavik

• Downtown Reykjavik: Downtown Reykjavik is a vibrant neighborhood perfect for outdoor enthusiasts and families. Visitors can explore popular attractions such as the iconic Hallgrimskirkja, a beautiful church, and the modern Harpa concert hall. The shopping area along Laugavegur offers a variety of local goods, while nearby parks and hotsprings provide relaxation options. The best time to visit is from July to September when traveler numbers peak, making it a lively destination.
• Vesturbær: Vesturbær is an inviting neighborhood suitable for families and eco-conscious travelers. Highlights include the scenic Reykjavik Harbour, offering stunning views and a marina atmosphere. The University of Iceland adds a touch of history, while Elding Reykjavik Whale Watching provides a thrilling experience. This area also peaks in visitor numbers from July to September, making it a great time to discover its outdoor attractions.
• Laugardalur: Laugardalur is an excellent choice for families seeking outdoor activities. The Grasagardur Botanical Garden provides a serene escape for nature lovers, while the lively Laugardalsholl arena is perfect for entertainment. Shopping opportunities along Laugavegur cater to diverse interests. Peak visitor numbers occur in April and from June to July, making these months ideal for experiencing the area's vibrant offerings.

10 tips to save on your Reykjavik car hire

1. Use filters to find the right car: Refine your search by vehicle type and features. Whether you require an SUV for additional space, a convertible for summer drives, or an economy car for budget-friendly travel, utilize the filters on Expedia to discover the best option for your journey.
2. Book in advance to help lower costs: Rental prices vary based on demand, so it's advisable to secure your car well ahead of your trip. By booking early, you are more likely to obtain lower rates and enjoy a wider selection, especially during peak travel seasons.
3. Consider a smaller car for savings: Generally, smaller cars are more affordable to rent and easier to park in crowded areas. Mid-size rentals strike a good balance between cost, comfort, and fuel efficiency.
4. Age guidelines: Drivers under the age of 30 may encounter higher deposits or daily surcharges, and certain vehicle types—such as SUVs or premium models—might not be available. This can also apply to renters over 70 years old. Always verify the age requirements prior to booking.
5. Check fuel policies: Some rentals operate under a full-to-full fuel policy, meaning you must return the car with a full tank to avoid additional charges. This is typically the best option. Others may provide full-to-empty or prepaid fueling alternatives, which are also acceptable. Just ensure you 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 extra cost may be justified by the added convenience.
7. Know your payment options: Many car rental companies exclusively accept credit cards for payment.
8. Understand your insurance coverage: Car rental insurance can help you avoid unexpected expenses and provides peace of mind in case something unforeseen occurs during your trip. Adding car rental insurance is simple when booking through Expedia.
9. Consider unlimited mileage: If you plan on taking long road trips, search for rentals that offer unlimited mileage to prevent additional costs.
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 Reykjavik

The best value period to rent a car in and around Reykjavik is April, when prices are slightly low and demand remains steady. January and February also offer low demand, making them quieter options, while late spring months like May present average prices and demand. However, July is the most expensive month, with high demand and slightly high prices. August continues this trend, being one of the busiest times for rentals with corresponding costs.

Calendar Month	Temperature	Precipitation	Cloudiness	Demand	Pricing
January	31.6°F (-0.2°C)	Light Rain	Mostly Cloudy	Low	Slightly Low
February	32.5°F (0.3°C)	Light Rain	Mostly Cloudy	Low	Average
March	33.4°F (0.8°C)	Light Rain	Mostly Cloudy	Average	Average
April	38.5°F (3.6°C)	Light Rain	Mostly Cloudy	Average	Slightly Low
May	43.9°F (6.6°C)	Light Rain	Mostly Cloudy	Average	Average
June	49.8°F (9.9°C)	Light Rain	Mostly Cloudy	Average	Slightly High
July	52.9°F (11.6°C)	Light Rain	Mostly Cloudy	High	Slightly High
August	51.8°F (11.0°C)	Light Rain	Mostly Cloudy	High	Slightly High
September	47.1°F (8.4°C)	Light Rain	Mostly Cloudy	High	Average
October	40.8°F (4.9°C)	Light Rain	Mostly Cloudy	Average	Average
November	36.0°F (2.2°C)	Light Rain	Mostly Cloudy	Average	Slightly Low
December	30.7°F (-0.7°C)	Light Rain	Mostly Cloudy	Low	Average

Finding the cheapest car rentals in Reykjavik

Using our Search Wizard

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

Renting a car in Reykjavik

Pay at pickup is available, so you don’t have to worry about spending your money until you arrive at your vehicle in Reykjavik. 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 Reykjavik

Prices are subject to seasonal change depending on when you decide to arrange your car rental but right now you can book from $120.

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.

• Compact car rentals    
• Convertible car rentals    
• Economy car rentals    
• Fullsize car rentals    
• Luxury car rentals
• Midsize car rentals    
• Mini car rentals    
• Minivan rentals    
• Pickup car rentals    
• Premium car rentals
• Sportscar rentals    
• Standard car rentals    
• SUV rentals    
• Van rentals