Iceland car rentals

Search hundreds of rental car sites at once for car rental deals in Iceland

Aug 11 — Aug 18
Same drop-off
Enter an airport or city
Thu 8/11
Noon
Thu 8/18
Noon

Cheap car rentals in Iceland

Economy$39/day
Compact$53/day
Intermediate$70/day
SUV$150/day
Full-size SUV$162/day
Mini$37/day
Passenger van$112/day
Premium SUV$180/day
Intermediate SUV$41/day
Compact SUV$45/day
Intermediate station wagon$49/day
Standard SUV$54/day
Compact station wagon$58/day
Best rates found by KAYAK users in the past hours.

Car rental directory

  • sunnycars

    Sunnycars car rental locations in Iceland

    24 Locations

  • keddy

    keddy by Europcar car rental locations in Iceland

    18 Locations

  • hertz

    Hertz car rental locations in Iceland

    16 Locations

  • europcar

    Europcar car rental locations in Iceland

    15 Locations

  • budget

    Budget car rental locations in Iceland

    8 Locations

  • avis

    Avis car rental locations in Iceland

    7 Locations

  • icerental4x4

    Ice Rental 4x4 car rental locations in Iceland

    6 Locations

  • dollar

    Dollar car rental locations in Iceland

    5 Locations

  • faircar

    Fair Car car rental locations in Iceland

    5 Locations

  • geysir

    Geysir Car Rental car rental locations in Iceland

    5 Locations

  • global

    Global Rent A Car car rental locations in Iceland

    5 Locations

  • greenmotion

    GREEN MOTION car rental locations in Iceland

    4 Locations

Good to know

Most popular agency

Fair Car

Most popular car type

Economy

Average price

$116/day

Good deal

$92/day

When to book a rental car in Iceland

Average daily price per month
Rental car prices as pick-up date approaches

Top tips for renting a car in Iceland

  • Visitors who wish to explore the island’s famous wildlife and scenery would do well to rent a car in Iceland: public transportation is generally limited to larger towns and cities. The majority of agencies are represented in the capital city of Reykjavik and at Reykjavik International Airport, meaning it’s easy to pick up a vehicle and enjoy travel flexibility as soon as you arrive. Popular road trip routes include the Golden Circle and Snæfellsnes Peninsula (plan around 2 days for each), or a 10-day journey around the ring road.
  • Mountain roads in Iceland are known as "F roads" and are open only seasonally; the first drivable day is usually between the end of June and the middle of July. While these roads are a great way to access some of the country’s areas of natural beauty, it is important to note that it is only legal to travel them in a four-wheel drive or jeep.
  • Drivers using the main ring road in Iceland may pass through the Vadlaheidargong Tunnel, which is located in the north of the island and extends for 7.5 km (4.7 mi). The tunnel is a convenient way of shortening your journey and avoiding difficult driving conditions in the winter months. Payment is required online through the tunnel website, costing 1,500 ISK (12 USD) if paid within 3h of your trip, or 2,500 ISK (20 USD) if paid later.
  • There are several additional regulations that are important to know when renting a car in Iceland, particularly the use of headlights. Even during daylight hours (including during the summer), headlights are to be switched on at all times. Seatbelts must be worn by all passengers, and it is forbidden to use a cell phone while driving, unless it’s a hands-free kit over the front controls. Finally, please be mindful that off-road driving is illegal and is punishable with a high fine or even jail time.
  • Car rentals in Bellingham provide you with the flexibility to explore the city’s many interesting sights, including Whatcom Museum and the scenic Lake Padden. Head to some of the popular cities in the surrounding region, whether it be Ferndale or Burlington. Bellingham car rentals are also a great way to head to attractions that are off the beaten path, like the Fragrance Lake Trail, which is around a 20min drive from the city center.
  • If you’re considering booking car rentals in Bellingham, keep in mind that you can make your reservation for Bellingham International Airport. The airport’s car rental center is placed directly near the Arrivals Terminal and the baggage claim, meaning that you don’t have to worry about grabbing a taxi, bus, or shuttle to travel there. There are a few different car rental companies to choose from, including Avis, Budget, and Enterprise.
  • Bellingham is known for having many cyclists, and they always have the right of way, even when they are not in a crosswalk bike lane. Keep your eyes open for them, especially when driving in busy areas. The state of Washington is also known for having many HOV lanes on its freeways, which are specifically designed for cars with at least two passengers. They usually are less busy than normal lanes, so use these when available to save time.
  • Highways 5 and 542 become particularly busy during rush hour, as these are the two main roads that people use to travel to work in and out of the city. Avoid getting caught in congestion by not taking these highways during the hours of 8-9am and 5-6:30pm. Bellingham frequently has rain and snow, which can cause traffic and make the roads slippery. If you find yourself driving during this weather, try to drive more slowly than normal and make sure that your vehicle has the proper winter equipment. 
  • 25% of our users found rental cars in Iceland for $92 or less
  • Book your rental car in Iceland at least 1 day before your trip in order to get a below-average price
  • Economy rental cars in Iceland are around 80% cheaper than other car types, on average

FAQs about renting a car in Iceland

The rates displayed include all taxes and fees for car rentals for the class listed and were found by KAYAK users in the last 24 hours. Offers are subject to change and may not be available on all car rentals listed or dates of travel. Some car rental providers charge additional fees for other services (GPS, infant car seats, etc.). Please check the car rental providers' sites.