Pros & Cons of Basing Your Stay in Reykjavik for Your Iceland Trip

If you’re planning on staying in Reykjavik during your trip to Iceland — wait!

There are both pros & cons to basing your stay in Reykjavik that you need to consider before booking your trip.

From first hand experience, I’m here to tell you why staying in Reykjavik as your base throughout your entire stay in Iceland may not be the best, and reasons why.

To be clear, I definitely recommend staying in Reykjavik for some part of your trip to Iceland, just not ALL of your trip.

My husband and I thought that staying in Reykjavik would be the best option as it provides a good base for multiple day trips. We also read many blogs recommending doing so.

However, we wouldn’t do that again.

We quickly realized that we should have booked multiple places to stay as we spent a majority of our time in the car, traveling the same roads to go back to our hotel each night and restricting the distance we could realistically travel to in a day.

In this blog post, I’ll include both pros & cons to basing your stay in the capital city so you can decide for yourself if it’s the best option for your trip to Iceland.

As the roads are very unpredictable (and often close) during the winter, these suggestions are recommended to those traveling during the warmer months (April-October).

So, let’s decide whether you should base your stay in Reykjavik or not.

Cons of Basing your Stay in Reykjavik

1. Restricts How Much of Iceland You Can See

Reykjavik is great for culture, city life, food, and things to do—but Iceland’s real draw is it’s beautiful landscapes and wild nature.

Imagine black sand beaches, volcanoes, (thousands) of waterfalls, glaciers, geothermal hot springs, rugged highlands, remote fjords, ice-blue water, & much more. The only thing missing is a dragon—it’s like a fantasy land straight out of a book or movie (Game of Thrones, anyone?).

Basing your stay in Reykjavík can limit how much of Iceland’s natural beauty you’ll experience, since you’ll only be able to venture a few hours out before needing to turn back for the night.

If you’re like me and would prefer to optimize your time, consider road tripping around the Ring Road while staying at multiple accommodations along the way. You’ll get to see much more of the island without spending redundant time traveling in the car.

The Ring Road requires about 7-10 days, although it can be done in in 5-6. However, I’d suggest 10-14 days to really optimize your time, slow down, and for more thorough exploration.

2. Multiple Hours Spent Traveling

As said before, if you base your stay in Reykjavik and wanting to see some of the popular sites, you’ll spend a majority of your time traveling.

For example, one of the most beautiful and stunning waterfalls in Iceland is Skógofoss, which is about a 2 hour and 15 minute drive from Reykjavik.

Doing the math, and rounding up due to stopping for gas, breaks, etc., that’s about 5 hours in one day you’ll spend traveling in the car.

Although driving in Iceland is beautiful as you’ll spot hundreds of waterfalls in the distance, I’d prefer spending my time at an actual waterfall versus in the seat of a car.

3. Overcrowded during Peak Season

Reykjavik is the capital city of Iceland, and is where 60% of Iceland’s population resides.

During the peak tourist season (June-August) expect to see large crowds at popular tourist destinations, including Reykjavik.

There are also a few festivals during this time which draws tourists and locals to the capital city such as the Summer Solstice, Reykjavik Pride Parade, and Verslunarmannahelgi (Merchant’s weekend).

To help minimize overcrowding, consider visiting Iceland during the shoulder seasons such as in May or September.

4. More Expensive

Because of it’s higher demand and convenience, Reykjavik is often more expensive than other parts of Iceland.

This is especially true for restaurants and places to stay.

However, some things are cheaper including gas prices as these tend to be higher in price in more rural areas of the country.

5. Light Pollution

If you’re hoping to see some of the Northern Lights in Iceland, your chances of spotting them in Reykjavik is slim due to all the light pollution from the city.

The aurora season runs from September to April, increasing your chances spotting them in November to March.

6. Potential Travel Fatigue

More time in the car traveling to different spots in Iceland may cause travel fatigue. And even may have you skipping out on a day of travel to rest and re-coupe.

Although technically you’ll be spending a lot of time in the car traveling the Ring Road if you opt for staying in multiple places, you’ll be traveling to a new area each day seeing new sites and landscapes, keeping it interesting.

Pros of Basing Your Stay in Reykjavik

Don’t get me wrong, there are many pros to staying in Reykjavik.

For one, it’s less complicated to book just one hotel versus mapping out a places to stay itinerary.

And although it’s not a large city, you’ll find many bars or restaurants in the city center.

If you’re visiting Iceland for for a short time (3-4 days), then basing your stay in the capital city would make the most sense.

However, if you’re staying longer than 6 or 7 days, then I’d suggest booking a few different hotels/accommodations to minimize repetitive travel and furthering the amount of Iceland you’ll be able to visit.

1. Many Hotel Options

Because you’re in the capital city, your options for hotels and places to stay is significantly more than anywhere else in Iceland.

We stayed right in the center of Ingólfstorg Square in Reykjavik’s Old Town at the Center Hotel Plaza. The hotel was really nice and modern and has an onsite bar and a breakfast buffet.

Plus, it was nice to be able to walk to the nearby bars, restaurants, and shops, just steps outside the hotel doors.

However, finding a parking spot for our rental car wasn’t as easy. Depending on which zone you park, parking can become extremely expensive. Rates typically begin around 9 AM and end around 9 PM with zones ranging from P1-P5 (P1 being the most expensive).

Here are some more hotel options in Reykjavik that are top rated and centrally located:

2. Walking Distance to Shops & Restaurants

If you’d prefer to walk out your hotel door and right into a local café or restaurant, then staying in Reykjavik is ideal.

There are many shop, cafes, bars, restaurants, and sites all located within walking distance to many hotels in the city center.

3. Closer to the Airport

Reykjavik is closer to the airport, making it more convenient arriving to or departing from Iceland.

But that doesn’t mean you need to spend your entire time in Reykjavik.

I would suggest possibly spending your first night in Reykjavik and your last or two nights in Reykjavik. This way you can settle in and then explore the city center before departing Iceland and only having an hour drive to the airport.

4. Central Hub for Tours

If you’re more a tour type person, basing your stay in Reykjavik would definitely be your best option.

Most tours leave directly out of the city center, with little to no effort for you. Book the tour, and then everything else is up to the tour guide.

Some tours that leave directly out of Reykjavik include:

When is Basing your Stay Reykjavik a Good Idea?

There are a few instances when basing your stay in Reykjavik is a good idea, especially when:

1. You’re visiting for a short time (3-5 days)
2. You prefer not to drive or minimize driving
3. You’re more interested in culture, food, or music
4. Your prefer guided tours rather than planning everything yourself
5. You’re traveling in winter, when roads may be icy or closed

Final Thoughts: Yes or No to Basing your Stay in Reykjavik

Now that you’ve read the pros and cons to basing your stay in Reykjavik, hopefully you have a better idea on what route you’d like to take for your trip to Iceland.

Based on my first hand experience, including what I plan on doing on my next trip to the land of fire and ice, I would recommend booking multiple hotels or accommodations around the island of Iceland, along The Ring Road.

The Ring Road is approximately a 1,332 km (827-mile) national highway circling around the entire country, hitting top attractions such as black sand beaches, waterfalls, volcanic areas, glaciers, ice caves, and even the popular Golden Circle.

And then, finishing your trip in the capital city of Reykjavik and close to the airport for your departure would be great for ending your trip. You could focus on exploring the city at a slower pace and end your trip feeling more relaxed.

If this post was helpful for you, let me know in the comments below! And keep an eye out for more content coming soon! ✨