A dorm bed in the city center is not the same product as a hotel room split five ways, and travelers who book on price alone are often surprised by what is and is not included once they arrive. Hostels in Reykjavik range from converted biscuit factories with private ensuite pods to a bus-shaped building with bunk beds stacked to the ceiling, and the difference between them is less about cleanliness than about noise, storage and whether breakfast is part of the rate. This page settles what a dorm actually gets a traveler and where a tent or campervan fits instead. It leaves hotel rooms, apartments and the wider stay decision to their own pages. Booking a hostel in the capital before a highland or ring-road trip is common, since it is the cheapest base for the nights spent packing gear and picking up a rental car. Anyone weighing a hostel against a private room is really weighing three things: how many nights are spent in the room versus out of it, how much luggage there is to lock away, and whether a shared kitchen matters more than a shared bathroom does not.
Our pickKEX Reykjavik
Dorm and private rooms in a converted biscuit factory
Travelers who want a bar and common areas on site

Dalur - HI Eco Hostel
HI-network dorm and private rooms
Travelers who want a quieter, residential setting

Loft - HI Eco Hostel
Dorm and private rooms above the main shopping street
Travelers who want to walk to restaurants and bars
The campsite, not the dorm, is the cheapest bed in the city
A common mistake is assuming a hostel dorm is the floor price for a Reykjavik trip. It is not, and travelers arriving with a tent, a rented camper or a car large enough to sleep in often skip the dorm entirely and pay less per night than a bunk costs. The Reykjavik eco campsite sits within walking distance of the center, with pitches for tents and space for campervans, plus shared kitchen and washroom facilities that function much like a hostel's common areas without the shared sleeping room. What the campsite does not offer is what a hostel dorm does: a roof that is not canvas, a bed that is not a sleeping bag, and heating that does not depend on the weather outside. For a short city stopover before or after a highland trip, the campsite suits travelers who already own or have rented the gear and want to spend the savings on tours instead of a room. For anyone without their own tent or vehicle, renting one for a single city night rarely pencils out against a dorm bed, since the equipment cost and the hassle of pitching and breaking down a tent in an urban lot outweigh the saving. The choice, in practice, comes down to whether the traveler is already camping for the rest of the trip or only in the city.
| Property | Rating | Reviews |
|---|---|---|
| KEX Reykjavik | 8.10/5 | 4,104 |
| Dalur - HI Eco Hostel | 8.30/5 | 2,662 |
| Loft - HI Eco Hostel | 8.60/5 | 2,006 |
| Nordic Hostel | 9.30/5 | 1,412 |
| Refurinn Reykjavik Guesthouse | 8.60/5 | 1,086 |
| B14 Hostel | 8.40/5 | 615 |
| Reykjavik Domes | 9.10/5 | 525 |
| SM Hostel | 8.10/5 | 429 |
- Rating
- 8.10/5
- Reviews
- 4,104
- Rating
- 8.30/5
- Reviews
- 2,662
- Rating
- 8.60/5
- Reviews
- 2,006
- Rating
- 9.30/5
- Reviews
- 1,412
- Rating
- 8.60/5
- Reviews
- 1,086
- Rating
- 8.40/5
- Reviews
- 615
- Rating
- 9.10/5
- Reviews
- 525
- Rating
- 8.10/5
- Reviews
- 429
A high rating does not mean the same thing at every size of property
Travelers scanning review scores for the best hostels in Reykjavik often assume the highest number wins, without noticing that a property with a few hundred reviews and one with several thousand are not measuring the same thing. Nordic Hostel carries the highest score on this page at 9.30 out of 5 from 1,412 reviews, a result that is easier for a small, tightly run property to hold than for a large one processing thousands of check-ins a year. KEX Reykjavik, by contrast, holds 4,104 reviews at 8.10 out of 5, a lower average built on a far larger and more varied sample of stays. Neither number alone says which property suits a given traveler better; a small hostel with a near-perfect score can still lack the amenities a larger one offers. One property worth naming separately is bus hostel Reykjavik, a hostel built inside a decommissioned bus, which trades standard dorm space for a novelty format that will not suit anyone who needs to stand up straight or store a full backpack beside the bed. Reading the review count alongside the score, rather than the score on its own, gives a clearer sense of how consistent a stay is likely to be.
{'activity_id': '11721707', 'name': 'Nordic Hostel', 'rating': '9.30/5 from 1,412 reviews', 'includes': 'Dorm and private rooms', 'best_for': 'Travelers prioritizing review score over property size', 'link': '{{AFF_GYG_HOTELS_HOSTELS_6}}'}
Pitching a tent in the city is not the same trip as pitching one in the highlands
A traveler planning to camp the whole way around the ring road sometimes assumes the Reykjavik campsite works the same way as a highland site, and it does not. The city site has fixed facilities, marked pitches and access to public transport into the center, none of which exist once a route leaves the paved ring road for the interior. It is a reasonable first and last stop on a longer camping trip precisely because it offers a shower, a kitchen and a laundry before or after nights spent without any of the three. Pitch fees at city campsites are charged per person per night rather than per tent, which surprises travelers used to a flat site fee, and a group splitting a large tent will pay more in total than the same group in a hostel dorm split three or four ways. Anyone weighing the campsite against a hostel purely on price should compare per-person totals rather than the sticker cost of a single pitch. The site closes for winter in most years, which matters for anyone building a shoulder-season or winter itinerary around it.

A dorm bed in the city is not a camping trip, and the two get confused
Some travelers search for a hostel because they expect an iceland camping tour to include indoor lodging on the nights before and after the tour itself, when in practice most multi-day camping tours provide the tent, transport and guiding but leave the traveler to book their own city bed at either end. Building in a hostel night before departure and another on return avoids an early scramble to find a room in a city where summer beds sell out days ahead. Inside the city, dorm configurations vary more than the ratings suggest: a kex hostel Reykjavik dorm room sleeps multiple guests in bunk beds with shared bathrooms down the hall, a standard setup that keeps the nightly rate low but means earplugs are worth packing regardless of the property's review score. Lockers are standard in most dorms of this type, though the size varies enough that a full-size backpack does not always fit, which matters for anyone arriving straight off a flight with all their gear. Checking a property's locker dimensions before booking avoids an unpleasant discovery at check-in.
{'activity_id': '5202563', 'name': 'Refurinn Reykjavik Guesthouse', 'rating': '8.60/5 from 1,086 reviews', 'includes': 'Guesthouse rooms near the center', 'best_for': 'Travelers who want a guesthouse feel over a large dorm hostel', 'link': '{{AFF_GYG_HOTELS_HOSTELS_10}}'}
What a building looks like from outside rarely tells the whole story
A converted industrial building can look uninviting from the street and still hold one of the better-run hostels in the city, and the reverse is just as common. The kex hostel Reykjavik exterior gives little away: a plain, dark facade on a former biscuit factory that opens into a lobby, bar and common area built for guests to spend an evening in rather than pass through. Travelers judging a hostel purely on street-view photos before booking miss the parts of the stay that happen indoors, where the common spaces, the kitchen and the noise levels of the dorm corridor matter far more to a night's sleep than the building's front. Smaller properties tend to show their character indoors rather than out, since renovation budgets go toward rooms and shared spaces before facades. A traveler choosing between two similarly priced hostels is generally better served by reading what past guests say about the common areas and the dorm noise than by the exterior photo alone.
Common questions
Is a hostel dorm cheaper than the city campsite?
It depends on group size and whether camping gear is already owned. Campsite fees are charged per person per night, so a large group can end up paying more than the same group split across a hostel dorm.
Do hostels in Reykjavik include breakfast?
It varies by property and is not standard across all of them. Checking the specific listing before booking avoids an unbudgeted extra cost each morning.
Are hostel dorms mixed or single-sex?
Most properties in the city offer both mixed and single-sex dorm options at booking, though availability for single-sex rooms sells out faster in summer.
Is the city campsite open all year?
No, it closes for winter in most years, which matters for anyone planning a shoulder-season or winter stay around it.
Do hostels have lockers for luggage?
Most dorms include lockers, though sizes vary and a full-size backpack does not always fit, so checking dimensions before booking is worth the extra step.
Everything in this group
Every listing this page covers, ordered by weight of evidence rather than by score alone. Each one has its own page with the full data sheet.
Ratings, prices and availability according to GetYourGuide, accessed on . Prices in US dollars; “from” is the provider's lowest entry price.











