Southern Peninsula Budget Hotels

A geothermal spa with multiple pools, a wooden bridge, and a modern building in the background.

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Our top choices for Southern Peninsula cheap hotels

1. ABC Hotel by Reykjavik Keflavik Airport

Reykjanesbær

john

2. Hótel Berg

Reykjanesbær

Christine

RM1,037 total

includes taxes & fees

9 Oct - 10 Oct

3. Lighthouse Inn

Suðurnesjabær

Hailey

RM712 total

includes taxes & fees

5 Oct - 6 Oct

4. Hotel Keilir by Reykjavik Keflavik Airport

Reykjanesbær

Mischelle

RM780 total

includes taxes & fees

5 Oct - 6 Oct

5. Hotel Keflavik by Reykjavik Keflavik Airport

Reykjanesbær

Wendy

RM1,268 total

includes taxes & fees

11 Oct - 12 Oct

6. The Retreat at Blue Lagoon Iceland

Grindavik

Christopher

7. Start Hostel

Reykjanesbær

Celeste

RM746 total

includes taxes & fees

1 Oct - 2 Oct

8. Diamond Suites by Reykjavik Keflavik Airport

Reykjanesbær

Lance

RM2,534 total

includes taxes & fees

11 Oct - 12 Oct

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Top Southern Peninsula Hotel Reviews

Reykjavik Residence Apartment Hotel

10/10 Excellent

"Close to everything in city. Many restaurants . Property felt like home!"

Alda Hotel Reykjavik

10/10 Excellent

"Family of three stayed in a room with a room with a bed plus sofa bed. There was plenty of room for the three of us and our suitcases. Two of us enjoyed the sauna. Robes and towels were provided for all 3 which was nice and showers were also available in the gym area. We paid extra for the breakfast which was the best during our stay. The staff was very nice ! We enjoyed our stay and would definitely stay here again. Highly recommend!"

Grandi by Center Hotels

10/10 Excellent

"Emma at the front desk went well above to make sure we enjoyed our stay. She made sure our room was well away from the large tour groups also using the facility. Indeed, we hardly noticed the other guests. She also made sure our spa and massage reservations were correct, even changing one to accomodate our changing schedule.. On another day, I stopped to ask where to find an odd size coin battery and the receptnist turned in her seat and said, "you mean like this?" And handed me the correct battery, she then declined to charge me for it. It didn't stop there as the bar, restaurant and housekeeping staff all went above and beyond to be helpful. The spa facilities were very relaxing with two separate hot tubs, a sauna and first class massage therapy services. Tour busses have difficulty navigating the narrow city streets, so there is an organized tour bus stop, #17, a very short walk away, in front of the Maratime Museum, a gateway to the wonders of the far north country. In summary, highly recommended."