Europe > 🇮🇸  Iceland > Reykjavík (KEF)

TL;DR: Car essential for Icelandic road trips
car v no car
car v no car
The Car or no Car advice for  Reykjavík can be broken down into three similar questions - do you need a car in Reykjavík ;  is it worth it (based on costs), and ultimately - should you rent one? (a balance of the two).

🚆 🚌⛴️ Do you need to rent a car in Reykjavík ?

These scores are based on the quality of public transport and other travel options. If these are good enough to see the main points of interest, then you don’t strictly need to rent a car.

🇮🇸 Mode

Score

🚆 Trains - includes all types of inter-city rail based transport: No passenger rail services operate. trains score 0
🚌 Bus & Metro - includes bus rapid transit, trams, suburban rail and metro / subway: Buses cover urban area. buses score 6
👀 Guided Tours - includes bus or car based private tours and guided walking tours: City and nature tours dominate. walking score 9
🚶‍♂️ Walking - includes both urban walking and rural hiking: Centre walkable. walking score 6
🚴 Cycling - includes urban cycling and bike share + rural cycling. Considers safety and hire availability: Limited cycling infrastructure. cycling score 4
⛴️ Ferries & Cruises - includes river crossings, dinner cruises, lake steamers etc (not long duration cruise packages): Harbour boats and whale tours operate. ferries score 7
  • For all transport modes, a score of 0 = very poor or none available; 10 = outstandingly good.

💰💶💳 Is it worth hiring a car in Reykjavík?

These scores reflect the practical factors that affect whether renting a car is convenient, good value, and stress-free.

🇮🇸 Factor

Score

🚗 Car Availability & Cost - is there a wide choice of self-drive rental cars at decent prices? Capital market with limited competition and high prices. car rental availability score 6
⛽ Fuel & Toll Costs - Fuel expensive with no toll roads. Typical: $8.5/gal | 2.2 €/l fuel and tolls score 5
🛣️ Road Quality - Road quality good but weather affected. road quality score 7
⚠️ Road Safety - Iceland has strong road safety. road safety score 9
🅿️ Parking Availability & Cost - Parking limited centrally. parking score 5
  • For all factors, a score of 0 = very poor; 10 = outstandingly good


Reykjavík Car Rental Costs

J F M A M J J A S O N D
6 6 6 6 6 7 8 8 7 6 6 6
Price bands:
  • From 1 ($0-10 per day) to 10 ($90-100 per day);
  • For typical cheapest available economy hire car;
  • Jan - Mar 2027 / Apr - Dec 2026.
  • Prices correct as of Feb 2026 - estimates only, not a guarantee.
🚗Do we need a car in Reykjavík? Is it worth it? Should we rent one? | Comment
Reykjavík sits in a slightly unusual position on the travel map. Iceland is very much a destination in its own right, but the city is also widely used as a stopover between Europe and North America, especially on routes to the USA and Canada. In both cases, the transport decision tends to land in the same place: a rental car offers far more flexibility, with a few important caveats.


📍 Reykjavík vs Iceland

Reykjavík itself is compact and walkable.

  • The city centre is easy to explore on foot

  • Buses cover urban areas reasonably well

  • Taxis are available but expensive

If your visit is limited to cafés, museums, and the harbour, you can manage without a car. But most visitors don’t come to Iceland just for the city.


🌍 Iceland as the Main Attraction

What draws people to Iceland lies outside Reykjavík.

  • Waterfalls, glaciers, volcanoes, and lava fields

  • The Golden Circle and south coast

  • Hot springs and remote landscapes

Public transport to these places is limited. Organised tours exist and work well for short stays, but they operate on fixed schedules and predefined routes.


✈️ The Stopover Factor

For travellers using Reykjavík as a stopover en route to the USA or Canada, time is often limited.

  • You want to see as much as possible in a short window

  • Flexibility matters more than comfort

  • Waiting for tours or bus connections eats into valuable hours

In this context, a car allows you to turn a stopover into a real Icelandic experience, even if only for a day or two.


🚗 Why Renting a Car Changes Everything

A rental car gives you:

  • Control over timing and route

  • Access to quieter sites beyond tour buses

  • The ability to react to weather and light

  • Efficient use of short stays

This is true whether Iceland is your main destination or a brief pause between continents.


⚠️ The Iceland Caveats

There are, however, some important considerations:

  • Car rental is expensive

  • Fuel costs are high

  • Weather can change rapidly

  • Road conditions vary, especially outside summer

  • Some routes require specific vehicles and experience

Renting a car in Iceland rewards planning and caution.


Conclusion: should you rent a car in Reykjavík?

Yes — in most cases, it’s the best way to experience Iceland.

You can enjoy Reykjavík without a car, but Iceland beyond the city is where the country truly reveals itself. Whether you’re staying for a week or just stopping over on the way to North America, a rental car offers the freedom that Iceland’s landscapes demand — as long as you respect the conditions.


Search for Car Rental in Reykjavík with Economy Bookings .com

🚗Do we need a car in Reykjavík? Is it worth it? Should we? | Comment

🚗 ✅ ❌ Summary Table

This summary score brings together how much you really need a car, whether it’s worth it, and an overall recommendation.

🇮🇸 Factor

Score

Road Trips - Is Reykjavík a good place to start a road trip? Outstanding gateway to Icelandic road trips road trip score 9
Road Trip Length - How long might a typical road trip last? | In a loop / out and back / one way? 6 days - Out and back national scenic routes

↔️

Structures - Are there loads of impressive bridges and tunnels around Reykjavík? Coastal bridges tunnels and volcanic terrain roads structures score 7
🚦 Overall Need for a Car - Is it necessary to hire a car in Reykjavík? (high score = yes). need score 6
💶 Is It Worth It? - High score = good value worth score 8
Partial car rental doodle Partial Rental: Is it worth renting a car in Reykjavík for some of the time, rather than all or nothing (e.g. for a 7 day trip)?

4/7

Do most people visiting Reykjavík rent a car? (From 0 to 10). worth score 6
🚗Should You Rent a Car in Reykjavík?
overall should you rent a car score 7

Frequently Asked Questions

Visited? – Have we visited Reykjavík in person (year)? N/A
  • How do we define "road trips" and suggest their duration?
Updates – When was this page last updated:
  • Automatic*: Feb-26
  • Manual*: Oct-25
  • Automatic = update of table data; Manual = update of page text | How do we update pages ?
What are the general advantages and disadvantages of renting a car in any location?
  • Pros include – time freedom, wider access, often best value for groups of 4–7.
  • Cons include – hassle of driving on unfamiliar roads and parking, often expensive for solo travellers and couples, less environmentally friendly than public transport.
I'm still not sure whether or not to rent a car in Reykjavík – can you offer more advice?
  • We always welcome comments using the form below.
  • Unfortunately we can’t take phone calls or answer individual emails.
Can you advise us on how to get the best car rental deal in Reykjavík?
  • Our most useful advice is not to rent a car you don’t need!
  • After that, our advice is similar to what you would expect anywhere else – book well ahead, use your own CDW insurance, watch out for fuel contracts, avoid fines and shop around.

👍🏾 / 👎🏻 Will You Rent a Car in Reykjavík?

Will you rent a car?Would you rent a car in Reykjavík, or would you rely on tours or public transport instead? Everyone travels differently, and the right choice often depends on where you’re going, how long you’re staying, and what kind of trip you’re planning.

Hopefully this page has given you a quick, practical overview of the pros and cons of renting a car in Reykjavík, and whether it’s really necessary or not. Maybe it’s helped you make up your mind — or maybe you’ve already visited and have insights to share.

We always welcome comments, questions, and comparisons with other cities.

All feedback is read, and any questions or clarifications are usually replied to within 24 hours.  

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