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Reykjavik · Hotel shortlist

Cheap hotels in Hlidar, Reykjavik

Peter Halvorsen

Peter Halvorsen The Nordics

Updated 1 August 2026 · 25 Reykjavik hotels assessed

These are my five favourites in Reykjavik, out of the 25 that qualified. I read what other travellers scored them before I picked, so the order follows the guests, 4.5 down to 4.2.

Every one comes in under $130 a night, and the one I would book first is $156.

Midgardur by Center Hotels

Highest rated of the five

Midgardur by Center Hotels

★★★★★4.5 from 1,876 reviews

Midgardur by Center Hotels comes out on top of this list, and not narrowly: 4.5 from 1,876 guest reviews is a score that holds up at that volume, which is the whole test here. A perfect ten from nine people does not beat it.

It is a 4 star property, found under Hlidar and around $156 a night on the dates we checked.

25 hotels in Reykjavik qualified for this list and five made it. Nordic Hostel & Apartments is the one I would book if the first is full.

Why it works for this trip

  • Spatreatment rooms on site, no booking a taxi for it
  • Restaurantdinner downstairs on the night you land
  • Bara drink without going back out
  • Family roomscots and larger rooms rather than a squeeze
  • Gymopen to guests, not a partner pass down the road

Check rates Read more

All five, ranked

  1. Midgardur by Center Hotels1

    Midgardur by Center Hotels

    ★★★★★4.5 from 1,876 reviews

    • Spa
    • Gym
    • Restaurant
    • Bar
    • Parking
    • Kid friendly

    Check rates Read more

  2. Nordic Hostel & Apartments2

    Nordic Hostel & Apartments

    ★★★★★4.8 from 129 reviews

    • Spa
    • Bar
    • Parking
    • Kitchen
    • Accessible
    • Airport shuttle

    Check rates Read more

  3. Storm Hotel3

    Storm Hotel

    ★★★★★4.5 from 1,244 reviews

    • Bar
    • Parking
    • Kid friendly
    • Accessible

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  4. Hotel Reykjavík Grand4

    Hotel Reykjavík Grand

    ★★★★★4.3 from 2,239 reviews

    • Gym
    • Restaurant
    • Bar
    • Parking
    • Pet friendly
    • Kid friendly

    Check rates Read more

  5. Bolholt Apartments5

    Bolholt Apartments

    ★★★★★4.2 from 538 reviews

    • Parking
    • Kitchen
    • Kid friendly
    • Accessible

    Check rates Read more

How this list was put together

25 Reykjavik hotels qualify for this list. We ranked them on guest rating, then on class, and took the top five.

Two things decide these lists. The first is my own time in the city: every hotel on this page is one I have stayed in, walked into and looked at, or gone back to check. That is where the shortlist starts, and it is why some well reviewed places are not on it.

The second is the numbers, and those are what set the order. The rating and review count come from the big travel sites, pooled through Google, so a score here reflects Expedia, Booking, Hotels.com and the rest together rather than any one of them. I also read the review breakdown by topic, which is where the figures on service, breakfast and location come from. Hotels with fewer than forty reviews are left out altogether, because a rating that thin is not a rating. No more than two come from one neighbourhood.

What I do not do is move anyone up the order. The ranking is the guest score, highest first, and nobody pays to be on the list.

Distances are straight lines from published coordinates, so the real walk is a little longer. Amenities are as recorded by Google Hotels and can change without notice. Rates are an indicative nightly figure for a midweek autumn stay, not a quote. Check the booking page before you commit.

Peter Halvorsen

Peter Halvorsen The Nordics

Twenty-six years of teaching means 26 long summers. Trains and driving through most of Europe, now further afield, usually alone with a tent. Keeps every train ticket since 1994.

Trip Grapevine earns a commission on bookings made through the links on this page. It costs you nothing, and it does not change the order of the list, which is set by the measurements above.