Water at the base of Skógafoss, Iceland South Coast
We travelled around Iceland’s entire Ring Road, but the South Coast was the most stunning part of our trip with iconic waterfalls, black sand beaches and glacier lagoons.
There is so much to see in this region that it’s worth slowing down, spending a little longer in each destination and finding somewhere memorable to stay along the way.
In this guide, we’ve included the best hotels near the major attractions on Iceland’s South Coast as well as tips for hiring a car and planning a road trip. If you don’t want to drive, we’ve included some tour options to reach these destinations from Reykjavík.
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Tips for planning a trip to Iceland
best time of year to visit Iceland’s South Coast
The best time to explore Iceland’s South Coast is generally from June to September, when longer daylight hours and milder weather make sightseeing easier. Summer offers more daylight, while September brings fewer crowds and the possibility of seeing the Northern Lights.
It is also possible to visit in winter, but snow, ice, strong winds and limited daylight can affect driving conditions. If you’re visiting between November and March, allow extra time and consider joining a guided tour for a safer way to explore.
Where to stay on a South Coast road trip
On a road trip, you can follow Iceland’s South Coast on the Ring Road (Route 1) from Reykjavík and driving east towards Höfn.
Depending on how you want to break up your drive, the most convenient places to stay are:
Seljalandsfoss and Skógafoss: Waterfalls and countryside stays (128–155 km from Reykjavík)
Vík: Black sand beaches and coastal scenery (187 km from Reykjavík)
Kirkjubæjarklaustur: Hiking, canyons and nature (260 km from Reykjavík)
Skaftafell and Jökulsárlón: Glaciers and ice lagoons (327–380 km from Reykjavík)
Höfn: Mountain scenery and coastal landscapes (458–473 km from Reykjavík).
How long to spend on Iceland’s South Coast
If you’re planning to explore the whole coastline from Reykjavík to Höfn, we’d recommend spending around four to five days. This gives plenty of time to visit the region’s highlights and organise additional experiences without feeling rushed.
Booking hotels on Iceland’s South Coast
One thing that we wished we knew before planning a trip to Iceland is that you don’t need to book accommodation only in the towns or cities. There are many great hotels close to the main attractions, and most have restaurants with breakfast and dinner.
Most hotels in Iceland have a very limited number of rooms and they can be booked out well ahead, especially in peak travel months. We’d recommend booking as early as possible.
Hiring a car in Iceland
If you’re planning to drive, we’d recommend booking a car in Iceland through Rentalcars.com which compares prices across all of the major hire companies.
Road conditions on Iceland’s South Coast
Outside of the winter months, driving in Iceland is not difficult and honestly the best way to get the most out of your time there. Everything you need to know about driving in Iceland is:
Iceland drives on the right side of the road;
most of the roads on the Ring Road are paved, and pot holes are rare (a standard rental car is generally suitable in good conditions);
you may have to be conscious of the wind when you open the doors sometimes, but it will be obvious when;
check road conditions and weather forecasts before setting off, particularly during winter;
most attractions will charge for parking which can be done through the QR codes or parking metres at each parking lot (don’t overcomplicate your trip with needless phone apps);
the left lane has right of way in roundabouts, but the road markings make this clear.
Mobile data in Iceland
We compared many mobile data plans for our trip and found the best options are Holafly’s Iceland and Europe eSIMs which come with unlimited data.
Phone coverage with Holafly was very good all over Iceland, even in some of the more remote areas. You can use our code ‘LINGANDJACE’ for 5% off Holafly’s eSIM for Iceland or Europe with this link.
Tours of Iceland’s South Coast
It is possible to visit some parts of the South Coast in just one or two days from Reykjavík, but the driving distances are very long. We’d recommend joining a guided tour if you want to reach them in a short amount of time:
South Coast day trip: We’d recommend this option as it has the most time at Skógafoss and nearby waterfalls than other tours. It also visits glaciers and black-sand beaches on the South Coast, so it’s perfect for reaching the main attractions.
Glacier hike day trip from Reykjavík: Combine a guided hiking tour on Sólheimajökull with a trip along the South Coast. All equipment is provided.
Diamond Beach and Jökulsárlón Glacier Lagoon day trip: See icebergs floating through a glacier lagoon and scattered across a black sand beach. This is one of the highlights on the South Coast, but it also one of the furthest points that can comfortably be visited in one day, so this tour saves you from hiring a car and navigating the long route yourself.
Where to stay on Iceland's South Coast
Best hotels near Seljalandsfoss and Skógafoss
One of the best ways to start exploring the South Coast is by driving from Reykjavík to the area around Seljalandsfoss and Skógafoss and exploring some of Iceland's most famous waterfalls.
This section is 130-155km and takes around 2-2.5 hours to reach by car, which makes it a popular first stop when heading east along the Ring Road.
Seljalandsfoss is known for the walking path that takes you behind the cascading water, while nearby Gljúfrabúi is tucked away inside a narrow canyon. Further east, Skógafoss is one of Iceland's most impressive waterfalls, with a dramatic 60-metre drop and a staircase leading to viewpoints above.
As the waterfalls are not far from the city, they are very popular destinations. Staying nearby gives you the chance to visit later in the day or early the next morning, when there are fewer tour groups.
The hotels in this area can be booked out quite far in advance. We’d recommend comparing the options in this post and checking your travel dates as early as possible.
Hotel Skógafoss: The closest hotel to Skógafoss, just a few minutes’ walk away, where you can even see the waterfall from some rooms.
Prices from US $390 per night.
Fosstun Guesthouse: A two-bedroom apartment with well equipped kitchen, a private bathroom, private terrace and carpark.
Prices from US $430 per night.
Hotel Skógá: A countryside hotel with an outdoor hot tub, sauna and restaurant
Prices from US $290 per night.
Distance view of Skógafoss
Best hotels near Vík, Reynisfjara and Dyrhólaey
Vík í Mýrdal (usually called Vík), is one of the most popular places to stay along Iceland's South Coast. It is a small coastal village surrounded by dramatic scenery, with mountains, glaciers and black sand beaches.
It's an excellent base for exploring Reynisfjara Black Sand Beach, which is famous for its basalt columns and dramatic sea stacks, as well as the Dyrhólaey Peninsula and its sweeping coastal views.
Vík also has a good selection of restaurants, cafés and accommodation, making it a convenient overnight stop before continuing further east towards the glaciers and national parks.
Hotel Katla: A peaceful hotel below mountains near Vík, with comfortable rooms, an outdoor hot tub and sauna.
Prices from US $290 per night.
Hotel Kria: A more modern choice in central Vík, with views across surrounding mountains.
Prices from US $430 per night.
Black Beach Suites: A stylish, private suite just outside of Vík with unbeatable views of Iceland’s dramatic black-sand coastline.
Prices from US $570 per night.
Ocean view on coastal walk around the Dyrhólaey Peninsula
Best hotels in Kirkjubæjarklaustur
Further east along the South Coast, Kirkjubæjarklaustur is a small village surrounded by some of Iceland's most beautiful landscapes. It is a less popular place to stay compared to Vík, but we would recommend adding a night here if you’re interested in hiking and have more time to explore the region.
The surrounding area is known for dramatic canyons, hiking trails and waterfalls. One of the highlights is Fjaðrárgljúfur, a spectacular winding canyon with walking paths and viewpoints overlooking the landscape.
The village of Kirkjubæjarklaustur is also a convenient base for exploring the eastern stretch of the South Coast before continuing towards Skaftafell and Jökulsárlón.
Magma Hotel: One of the highest rated options in Klauster with Nordic style rooms and a beautiful lakeside setting.
Prices from US $220 per night.
Hotel Klauster: A modern and convenient hotel closer to town.
Prices from US $170 per night.
Hótel Laki: A peaceful countryside hotel with comfortable rooms and beautiful views of the surrounding mountains and farmland.
Prices from US$207 per night.
Múlagljúfur canyon hike
Best hotels near Diamond Beach and Jökulsárlón glacier lagoon
As you continue east, the scenery changes dramatically when you approach Vatnajökull National Park, home to Europe's largest glacier. This part of the South Coast is particularly beautiful and unique.
In Jökulsárlón lagoon, icebergs break away from the glacier and drift out to the ocean. Just across the road, Diamond Beach is known for pieces of glacial ice that are scattered across black sand.
It is also a popular area for adventure experiences, like this Fjallsárlón iceberg boat tour and glacier hike. If you're planning to explore this part of Iceland, staying overnight gives you more time to enjoy the scenery and plan experiences without having to make the long drive back towards Vík.
Glacier Lagoon Hotel (Hótel Jökulsárlón): The most stylish stay with mountain and glacier view rooms, about 10 minutes’ drive from Diamond Beach and Jökulsárlón.
Prices from US $450 per night.
Hali Country Hotel: A peaceful countryside hotel. This is a more affordable option still within 10 minutes’ drive from Diamond Beach and Jökulsárlón.
Prices from US $230 per night.
Fosshotel Glacier Lagoon: A more upscale option with modern rooms, a restaurant and bar, sauna, gym and hot tubs. Located around 20-25 minutes’ drive from Diamond Beach and Jökulsárlón.
Prices from US $440 per night.
Fjallsárlón glacier lagoon
Best hotels near Höfn, Vestrahorn and Stokksnes
Höfn is a small fishing town in southeastern Iceland, known for its beautiful coastal setting and views of the surrounding glaciers and mountains. It’s a popular overnight stop on the Ring Road, particularly after visiting Jökulsárlón Glacier Lagoon and Diamond Beach.
One of the biggest reasons to stay in this area is Vestrahorn, around 15-20 minutes’ drive from Höfn. It is one of Iceland's most recognisable mountains, rising above a black sand beach.
We’d recommend staying in Höfn and visiting Stokksnes in the in the early morning or around sunset. If the water is still, you can also sometimes capture reflections of Vestrahorn on the beach.
Milk Factory: A dairy that has been converted into a simple guesthouse, located just outside of central Höfn.
Prices from US $250 per night.
Höfn - Berjaya Iceland Hotels: A convenient hotel in the centre of Höfn, right near the harbour and restaurants.
Prices from US $170 per night.
Hotel Höfn: A central, practical option for staying in the centre of Höfn.
Prices from US $185 per night.
Sand dunes a Stokksnes beach