Where to stay on Iceland’s Golden Circle? This loop includes three iconic sites—Þingvellir, Geysir, and Gullfoss—but it also passes through villages and rural areas where spending the night completely changes the pace of the trip. I’ve listed the best options here, including:
- Map of places to stay along the Golden Circle,
- The advantages and limitations of each option,
- The best places to stay, including hotels, cabins, and guesthouses,
- …
This opinion is completely independent, based on our experiences. We visited the region anonymously, making our own choices and paying our bills in full.
Where to Stay on the Golden Circle – Map + Summary
The 6 Best Places to Stay on the Golden Circle
On the Golden Circle, I identify six main zones, each corresponding to a different type of traveler. Be sure to book as early as possible to have plenty of options!
After the map, I’ll summarize them for you below, and then I’ll go into more detail about each option further down, along with my recommendations for accommodations.
- Around Gullfoss and Haukadalur—ideal if you want to see the sights at sunrise or sunset, without the crowds that flock to the area during the day.
- Flúðir is the perfect place to relax in a geothermal lagoon after a day of sightseeing.
- Charming accommodations surrounded by nature—perfect if you’re looking for a unique overnight stay in a peat hut, a glass cabin, or an observation tower.
- Laugarvatn is the perfect place if you want to alternate between sightseeing and soaking in a hot spring by the lake.
- Reykholt and the surrounding area—ideal for a quick stop in a rural setting and a convenient base for exploring nearby attractions.
- Selfoss is the perfect gateway to Route 1 and southern Iceland, with plenty of shops and restaurants.
- Check out the top attractions in the summer, and read our article about these attractions in the winter.
Where to Stay on the Golden Circle to Relax
If your priority is to relax after a day of sightseeing, I recommend Flúðir. The village has a geothermal lagoon where you can wind down at the end of the day—a more peaceful alternative to the country’s more touristy hot springs. It’s also a good place to stay if you’re traveling with children, since the pace of life here is more relaxed than near the main attractions.
Option 1 – Around Gullfoss and Haukadalur
Why Stay Near Gullfoss and Haukadalur
This area allows you to see Gullfoss Waterfall and the geysers of Haukadalur at sunrise and sunset, without the crowds that flock to these sites during the day. I think this is one of the best options if you want to photograph these places in softer light, or simply enjoy them at a more leisurely pace. On the other hand, the selection of restaurants and shops on site remains limited, so it’s best to plan your meals in advance.
Where to Stay Near Gullfoss and Haukadalur – Hotels
- Gullfoss Hotel, a country inn on the banks of the Hvítá River, about a 3-kilometer walk from the waterfall, featuring shared hot tubs and a restaurant specializing in traditional Icelandic cuisine
See photos, prices and availability - Geysir Hotel, located directly across from the Haukadalur geothermal area, just a few minutes’ walk from the Strokkur geyser, featuring a restaurant and a garden
See photos, prices and availability - Litli Geysir Hotel, the more modest sister property of Hotel Geysir, located about 200 meters from the site, where breakfast is served at its neighboring “big brother”
See photos, prices and availability - And other places to stay nearby… See the best rated accommodations
RENTING A CAR IN Iceland
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On Route 1, no 4WD required, off Route 1, it depends on your plans.
Option 2 – Flúdir
Why Stay in Flúdir
Flúdir is known for its geothermal lagoon, which is the perfect place to relax after a day of driving along the Golden Circle. I consider this village a good alternative to the country’s most popular spas, with a much more relaxed atmosphere. It’s also a convenient place to stay if you’re looking for a stopover halfway between the major attractions, rather than a place right next to them.
Where to Stay in Flúdir – Hotels
- Gardur Stay Inn, a small 4-room guesthouse housed in a former family home, right next to the Secret Lagoon
See photos, prices and availability - The Hill Hotel at Flúdir, a 32-room, single-story hotel, some of whose rooms offer direct access to outdoor hot springs, featuring an à la carte restaurant that highlights local ingredients
See photos, prices and availability - And other places to stay in Flúdir…See the top-rated accommodations
OUR GUIDE TO PLANNING A Dream trip
- 8 maps that make planning easier
- + 100 pre-selected locations
- Practical advice
- + 130 photos to help you choose
Option 3 – Unique Accommodations in the Heart of Nature
Why Choose Unique Accommodations on the Golden Circle
If you’re looking for an experience that goes beyond the typical hotel stay, several places in the area offer overnight stays surrounded by nature: traditional peat huts, glass cabins, or secluded observation towers. I find this type of lodging particularly well-suited if you’re hoping to catch a glimpse of the Northern Lights from your bed outside of the summer season. However, these locations are often more expensive and more remote, so it’s best to check the driving directions before booking.
Where to Stay in the Heart of Nature on the Golden Circle
- Torfhus Retreat Hotel, a collection of thatched-roof cottages inspired by traditional Viking architecture, each featuring its own geothermal pool made of basalt stone
See photos, prices and availability - Tiny Glass Lodge, glass cabins reserved for adults, each featuring a private terrace with a hot tub and sauna, designed for viewing the Northern Lights
See photos, prices and availability - Klettar Tower, a guesthouse built as a secluded observation tower in the countryside, with a room at the top from which to admire the surrounding landscape
See photos, prices and availability - Myrkholt Cabin, a recently renovated guesthouse located between Gullfoss and Geysir, featuring 6 rooms with private bathrooms and a shared kitchen
See photos, prices and availability
OUR GUIDE TO PLANNING A Dream trip
- 6 maps that make planning easier
- + 75 pre-selected locations
- Practical advice
- + 115 photos to help you choose
Option 4 – Laugarvatn
Why Stay in Laugarvatn
Laugarvatn is located near natural hot springs, making it a great base if you want to alternate between sightseeing and geothermal relaxation without straying far from the main loop. The village also lies on the shore of a lake, giving it a different setting from the other stops on the Golden Circle, which focus more on geysers or waterfalls.
Where to Stay in Laugarvatn – Hotels
- Golden Circle Cabins, a small 9-room property just a few minutes’ walk from the village center and the Vígðalaug natural pool
See photos, prices and availability - Björk Guesthouse, a small, family-run guesthouse in Laugarvatn, just a stone’s throw from the Fontana geothermal baths
See photos, prices and availability - Héradsskólinn Historic Guesthouse, housed in a former school building from the 1920s overlooking Lake Laugarvatn, offers a choice of private rooms or dormitories and features an on-site bistro
See photos, prices and availability - Laugarvatn Hotel, 30 rooms with views of the lake or the mountains, right next to the Fontana Baths
See photos, prices and availability - And other places to stay in Laugarvatn…See the top-rated accommodations
UNFORGETTABLE ACTIVITIES IN Iceland
- Swimming in the Silfra fissure
- Horseback riding
- Hiking on a glacier
- Whale watching (from Reykjavik, Husavik or Akureyri)
Option 5 – Reykholt and the Surrounding Area
Why Stay Near Reykholt
Please note that there are two places in Iceland named Reykholt: the one we are discussing here is located in the Golden Circle area, and should not be confused with the other Reykholt, which is further west. This rural area is a good choice if you’re looking for a quiet stopover surrounded by greenhouses and fields, rather than a bustling village. I recommend it above all as a convenient base from which to explore nearby sites. And there you’ll find the Fridheimar farm, which grows tomatoes in greenhouses heated by geothermal energy. Be sure to try their soup!
Where to Stay Near Reykholt – Hotels
- Blue Hotel Fagrilundur, a 40-room hotel in Reykholt, located right next to the Friðheimar tomato farm, featuring two outdoor hot tubs
See photos, prices and availability - And cottages and cabins…See the top-rated accommodations
Option 6 – Selfoss
Why Stay in Selfoss
Selfoss serves as the gateway to Route 1 and the entire southern coast of Iceland. I recommend it if you’re planning to visit the Golden Circle as part of your road trip, rather than if you want to focus solely on the geothermal sites. The city has more shops and restaurants than the previous villages, which also makes it a convenient option for restocking supplies.
Where to Stay in Selfoss – Hotels
- 360 Hotel Boutique & Spa, a boutique hotel perched on a hill outside the city, known for its 360-degree panoramic view and its spa fed by a geothermal spring
See photos and availability - South Coast Hotel, a modern 72-room hotel near the new downtown area of Selfoss, featuring a spa with hot tubs and a sauna
See photos and availability - Selfoss Hotel, the city’s largest hotel, with 139 rooms on the banks of the Ölfusá River and a spa featuring a sauna and hot tub
See photos and availability - See the best rated accommodations in Selfoss
UNFORGETTABLE ACTIVITIES IN winter
- Visit an ice cave
- Glacier hiking
- Whale watching (from Reykjavik, Husavik or Akureyri)
Frequently asked questions
Where should you stay along the Golden Circle to avoid the crowds?
I recommend the Gullfoss and Haukadalur area if you want to see the sights early in the morning or late in the day, outside the hours of the organized tours from Reykjavík.
How many nights should you plan to spend on the Golden Circle?
One night is enough to see the main sights, but I recommend staying two nights if you also want to enjoy a geothermal bath and leave without rushing the next morning.
Do you need a car to visit the Golden Circle?
Yes, most of the accommodations on this list—especially the secluded cabins and rural guesthouses—are accessible only by car.
PLAN YOUR SUMMER TRIP TO iceland
- Best of
What to do in Iceland
The most beautiful waterfalls
The most beautiful black sand beaches
Volcanic craters to climb
Lava caves to visit
Best excursions from Reykjavik
- Practical advice
Summer travel tips
How to rent a car in Iceland
Driving tips
Where to stay in Iceland
Itineraries: 3 days – 4 days – 5 days – 1 week – 10 days
- The must-dos
What to do in Reykjavik
Best attractions in the Golden Circle
South Coast attractions
Snaefellsnes Peninsula
Silver Circle
Lake Myvatn attractions
