Southern Iceland Vacations from $748

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Your Southern Iceland Vacation

When it's time for a break, book a Southern Iceland vacation package. Get set to experience nightlife, culture, festivals, and much more in this exciting destination. Start your trip to Southern Iceland with some time in Reykjavik visiting popular attractions like Reykjavik Harbour and Laugavegur. Reykjanesbær is another city that lures travelers from far and wide. Blue Lagoon and Viking World Museum are two of the top places to see here. Expedia is a one-stop shop when it comes to planning your Southern Iceland vacation. From flights and hotels, to rental cars and more, we know how to create a travel experience like no other.

The Latest Southern Iceland vacation packages

Price found within the past 48 hours. Click for updated prices.
Keflavik's Ray of sunshine Hafnargata

Keflavik's Ray of sunshine Hafnargata

$748
per person
Jan 5 - Jan 10
found 1 day ago
Roundtrip flight included
Boston (BOS) to Reykjavik (KEF)
9/10 Wonderful! (20 reviews)
It's was perfect for our trip. The location is superb, close to the airport, shops, bars restaurant. Very easy to travel from. A cosy stay with all that we needed. Clean well equipped and comfy. Thank you

Reviewed on Jun 14, 2026

ICELAND SJF Villa , Hot tub & Outdoor Sauna Amazing Mountains View - 15 min to downtown

ICELAND SJF Villa , Hot tub & Outdoor Sauna Amazing Mountains View - 15 min to downtown

Digranes
Save 100% on your flight
$2,595
per person
Jan 5 - Jan 10
found 1 day ago
Roundtrip flight included
Boston (BOS) to Reykjavik (KEF)
9.6/10 Exceptional! (28 reviews)
Absolutely great. The pictures don’t do the property justice. Very spacious, spotless clean, totally fell in love with the floors. The sauna and tub were spectacular, got some amazing aurora views while relaxing in both. The neighborhood was great, with multiple stores like Bónus just a few minutes away. The owner was super friendly. Would definitely stay here again.

Reviewed on Dec 11, 2025

Reykjavik Residence Apartment Hotel

Reykjavik Residence Apartment Hotel

Downtown Reykjavik
$1,392
per person
Dec 24 - Dec 28
found 1 day ago
Roundtrip flight included
Boston (BOS) to Reykjavik (KEF)
9.6/10 Exceptional! (3,456 reviews)
Aurora Sky

Aurora Sky

Save 100% on your flight
$1,921
per person
Jan 5 - Jan 10
found 1 day ago
Roundtrip flight included
Boston (BOS) to Reykjavik (KEF)
10/10 Exceptional! (1 review)
Very efficient and comfortable property. We had everything we needed to fix dinner and breakfast. Very comfortable beds - above average. Owner very nice over the phone. In the middle of some great views of Iceland itself.

Reviewed on Aug 5, 2026

Magma Hotel

Magma Hotel

$1,147
per person
Jan 4 - Jan 10
found 1 day ago
Roundtrip flight included
Boston (BOS) to Reykjavik (KEF)
9.8/10 Exceptional! (432 reviews)
This property is in a lovely spot with beautiful views. It’s unique in that it has duplex little cabins that are cozy. The restaurant on site had a great dinner but mediocre breakfast- not at all what you would expect at a luxury-priced European hotel. The room had no amenities such as a robe, or lotion, water bottles, or places for suitcases. The very expensive price should come with a few extras to make you feel like the price is worth it.

Reviewed on Oct 7, 2026

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Where to stay in Southern Iceland

Find the best Southern Iceland areas and neighborhoods for the activities you enjoy most. Learn more about Southern Iceland
A cityscape with a prominent church, a body of water, and snow-capped mountains in the background.

Downtown Reykjavik

3 out of top 10 points of interest in this area

Home to Iceland's national parliament and vibrant nightlife, Reykjavík City Center boasts landmarks like Tjörnin pond, Hallgrímskirkja, and lively Austurstræti and Bankastræti streets.

Two boats named 'Christina' and 'Andrea' docked at a marina with a rocky breakwater and a mountainous backdrop.

Vesturbær

1 out of top 10 points of interest in this area

Mostly residential with a touch of commercial activity at Grandi harbor, this district boasts the University of Iceland and the community-centered Vesturbæjarlaug swimming pool.

A river flowing through a town with buildings and greenery.

Háaleiti

While there might not be top attractions in Háaleiti, you can explore the larger area and discover places like Kringlan Shopping Mall and Laugardalslaug Geothermal Pool.

A town with a prominent church and a mountain in the background.

Laugardalur

Just east of Reykjavík's city center, Laugardalur offers various recreational facilities, including the main stadium. Known as "hot spring valley," it's perfect for travelers seeking leisure activities.

A row of colorful townhouses with a clear blue sky.

Tún

If you're spending some time in Tún, Laugavegur and Hofdi House are top sights worth seeing.

Stay near popular Southern Iceland attractions

A waterfront promenade with a modern sculpture and a sunset.

Reykjavik Harbour

9.2/10 (8,713 reviews)
Reykjavík's historic harbor pulses with maritime culture amid colorful repurposed fishing buildings. Embark on whale watching or Northern Lights cruises while enjoying panoramic views of Faxaflói Bay and Mount Esja.
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A modern building with large windows and a wooden deck leading into a clear blue pool.

Blue Lagoon

9.4/10 (4,050 reviews)
Iceland's iconic Blue Lagoon offers milky-blue geothermal waters rich in minerals amid volcanic landscapes. Reserve a twilight soak to experience the ethereal atmosphere while enjoying silica mud masks.
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A church with a tall spire and a statue in front.

Hallgrimskirkja

9.2/10 (7,612 reviews)
Hallgrímskirkja rises like Iceland's basalt columns in concrete form, dominating Reykjavik's skyline. Take the elevator to the observation tower for sweeping city views framed by distant mountains.
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A coastal landscape with a prominent green hill, a rocky cliff, and distinctive rock formations in the sea.

Black Sand Beach

9.8/10 (1,665 reviews)
Iceland's dramatic black sand beach features towering basalt columns and Reynisdrangar sea stacks. Keep a respectful distance from the powerful Atlantic waves while watching for puffins nesting in summer.
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A street with a pink bicycle, a yellow bench, and various storefronts.

Laugavegur

9.4/10 (6,657 reviews)
Reykjavik's main thoroughfare pulses with colorful boutiques, Icelandic design shops, and lively cafés. Wander between art galleries and cozy restaurants before experiencing the street's legendary nightlife scene.
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A waterfall cascading down a rocky cliff into a river.

Gullfoss

9.8/10 (564 reviews)
Part of a nature reserve, this waterfall crashing into a deep canyon is among the country’s most iconic features.
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An underwater view of a rocky terrain with visible crevices and formations.
Photo by Olivia Fortner

Thingvellir National Park

9.4/10 (4,157 reviews)
Walk between two tectonic plates at this UNESCO site where Iceland's first parliament was established in 930 AD. Explore the Almannagjá Gorge's dramatic fissures and witness the Öxarárfoss waterfall's cascading beauty.
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Southern Iceland Hotel Deals

Hotel Vík í Mýrdal

Hotel Vík í Mýrdal

Klettsvegur 1-3 Vik I Myrdal
$171 nightly
$198 total
Nov 1 - Nov 2
Total with taxes and fees
Hotel Vík í Mýrdal
CityHub Reykjavik

CityHub Reykjavik

46 Hverfisgata Reykjavik Reykjavíkurborg
Fully refundableReserve now, pay when you stay
$82 nightly
$99 total
Nov 3 - Nov 4
Total with taxes and fees
9.2/10 Wonderful! (711 reviews)
"Excellent location and very spacious pods! Would absolutely stay here again!"

Reviewed on Oct 16, 2026

CityHub Reykjavik
Alda Hotel Reykjavik

Alda Hotel Reykjavik

Laugavegur 66-68 Reykjavik
Fully refundableReserve now, pay when you stay
$150 nightly
$177 total
Nov 9 - Nov 10
Total with taxes and fees
9.4/10 Exceptional! (1,389 reviews)
"Hotel was nice and in a convenient location. Gym was underwhelming as was the daily buffet breakfast. The Brass restaurant was great and overall, most of the staff was friendly and helpful."

Reviewed on Oct 18, 2026

Alda Hotel Reykjavik
See all 1,955 properties in Southern Iceland
Lowest nightly price found within the past 24 hours based on a 1 night stay for 2 adults. Prices and availability subject to change. Additional terms may apply.

Find the Best Southern Iceland Vacation Packages

Southern Iceland Essential Information

Language
Icelandic
Currency
Icelandic krónurs
Closest Airport
Keflavik Intl. Airport (KEF)

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* Savings based on package bookings compared to the price of the same components booked separately. Savings not available on all packages.