Planning a trip to Iceland on a budget is absolutely possible—if you know a few local tricks. The west of Iceland, with its dramatic fjords, charming fishing villages, and easy access from Reykjavík, is one of the best regions for affordable adventures. Here are practical Iceland travel hacks to stretch your króna, with examples of how to do it while staying at Ourhotels.is properties like Hvítá Inn in Borgarfjörður, Stykkishólmur Inn, and Ísafjörður Inn.
One of the biggest money-savers is choosing your travel season wisely. Summer is beautiful but also the most expensive. Consider late spring (May–early June) or early autumn (September–early October). You’ll still get long days, fewer crowds, and lower prices on accommodation and car rentals. For example, booking Hvítá Inn in Borgarfjörður just outside the peak summer weeks often means better rates, while you still enjoy green landscapes, waterfalls, and mild weather.
Accommodation is where you can save the most without sacrificing comfort. Instead of pricey luxury hotels, look for clean, cozy inns and guesthouses with good locations and free parking. Ourhotels.is focuses on exactly that: simple, comfortable stays in strategic spots across West Iceland. Hvítá Inn is perfectly placed for exploring Borgarfjörður’s hot springs, lava fields, and waterfalls. Stykkishólmur Inn puts you right in the heart of the Snæfellsnes Peninsula, and Ísafjörður Inn is a great base for discovering the dramatic Westfjords. By staying in these smaller towns instead of Reykjavík every night, you cut down on both accommodation and driving costs.
Food can quickly eat up your budget in Iceland, but there are easy ways to keep it under control. Shop at local supermarkets like Bónus, Krónan, or Nettó and prepare simple meals or snacks. Many budget-friendly accommodations, including those in the Ourhotels.is family, offer access to shared kitchen facilities or at least kettles and basic amenities, so you can make breakfast, sandwiches, and simple dinners. Pack a reusable water bottle—tap water in Iceland is some of the purest in the world and completely free. Save restaurant meals for special occasions, like a fresh fish dinner in Stykkishólmur or a cozy café stop in Ísafjörður.
Transport is another major cost, but with smart planning you can keep it manageable. If you’re traveling with one or two companions, renting a small, fuel-efficient car is often cheaper than tours, and it gives you the freedom to explore at your own pace. Base yourself in a few key locations instead of changing hotels every night. For example, you could spend a couple of nights at Hvítá Inn to explore Borgarfjörður and the nearby Hraunfossar and Barnafoss waterfalls, then move to Stykkishólmur Inn to discover the Snæfellsnes Peninsula, and finally head to Ísafjörður Inn for the Westfjords. Fewer hotel changes mean less time packing and more time enjoying the scenery.
One of the best Iceland travel hacks is to focus on free or low-cost nature experiences. In West Iceland, many of the highlights don’t cost anything beyond fuel. From Hvítá Inn, you can easily reach Deildartunguhver hot spring, the historic site of Reykholt, and scenic viewpoints along the Borgarfjörður region. From Stykkishólmur Inn, you’re within reach of iconic Snæfellsjökull National Park, black sand beaches, coastal cliffs, and charming fishing villages. In the Westfjords, Ísafjörður Inn makes a great starting point for drives to remote fjords, hiking trails, and wild viewpoints that feel a world away from the crowds—without any entrance fees.
If you want to enjoy hot springs without blowing your budget on high-end spas, look for local pools and natural hot pots. Almost every town has a municipal swimming pool with hot tubs and saunas at very reasonable prices. Ask the staff at Ourhotels.is properties for their favorite nearby pools or lesser-known hot springs. Locals often know about quiet spots where you can soak with mountain or ocean views for a fraction of the cost of the big-name spas.
Packing smart is another underrated money-saver. Bring layers, a waterproof jacket, and sturdy shoes so you don’t have to buy expensive gear once you arrive. A thermos, reusable containers, and a small daypack make it easy to carry snacks and lunches on the road. This is especially useful when you’re staying in places like Ísafjörður Inn or Stykkishólmur Inn, where you might spend full days out exploring fjords, cliffs, and beaches.
When planning your itinerary, avoid trying to see the entire country in one short trip. Focusing on one region—like West Iceland and the Westfjords—reduces fuel costs, driving time, and stress. A well-planned route might look like this: start from Reykjavík, drive to Borgarfjörður and stay at Hvítá Inn, continue to Stykkishólmur Inn for Snæfellsnes, then head north and west to Ísafjörður Inn to experience the raw beauty of the Westfjords. This loop gives you waterfalls, hot springs, glaciers, fjords, and charming towns without constant long-distance driving.
Finally, book early and keep an eye out for direct deals. Ourhotels.is often offers competitive rates for travelers who book directly through their website, and you can sometimes find package offers or seasonal discounts. By combining early booking with off-peak travel dates, self-catering options, and a focus on free natural attractions, you can enjoy an unforgettable Iceland adventure without overspending.
With a bit of planning and the right bases—like Hvítá Inn in Borgarfjörður, Stykkishólmur Inn on the Snæfellsnes Peninsula, and Ísafjörður Inn in the Westfjords—you can experience the best of Iceland’s wild west on a budget, while still enjoying comfort, local charm, and easy access to some of the country’s most spectacular landscapes.
