Self-Drive Car Rental in Reykjavik, Iceland

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Choose from 76 pick-up spots

When's the cheapest time to hire a car in Reykjavik?

Our data shows that October is the cheapest month to rent a car in Reykjavik. It’s around ₹ 5,488 per day in October, compared to the yearly average of ₹ 9,080 per day.
Cheapest month avgOctober • ₹ 5,488
Yearly avg price₹ 9,080

Select your Reykjavik pick-up location

There are 76 car hire providers in Reykjavik. Check out the map below to find the most convenient pick-up spot.

Car hire pick-up spots in Reykjavik

Compare car hire prices at airports, train stations and in different neighbourhoods across Reykjavik. You might find a better price, or the perfect pick-up point nearby. Start your journey where it suits you.
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These are estimated prices to help you choose from a large number of options. Each is an average based on the lowest car rental prices found for each destination over the last 15 days.

Driving in Reykjavik: What to expect on the road

Documents you'll need
Bring your licence, passport and credit card.
To rent a car in Reykjavik, bring your driving licence, passport and credit card. An International Driving Permit (IDP) is recommended in Reykjavik if your licence is from outside the EU or not written in English
Navigating city driving
Roads are wide and well maintained.
Driving in Reykjavik is simple, with clear road markings, well-signed junctions and little congestion. Use a sat nav for shortcuts or to reach the outskirts, where some roads may be less direct.
Tolls, emissions zones and charges
No tolls or environmental charges apply.
There are no toll roads in Reykjavik and no low-emission or congestion zones. Driving in and around the city is free and straightforward, with no permits or passes needed.
Parking your car in Reykjavik
Parking is paid in central zones.
Street parking in Reykjavik is well organised, with marked zones requiring payment via ticket machines or apps. Outside the centre, parking is often free. Hotels frequently include on-site parking.
Finding fuel or charging points
Fuel is widely available — EV charging is growing.
Petrol stations are easy to find in Reykjavik. EV charging stations in Reykjavik are growing steadily — use apps like PlugShare or ON to check availability near your hotel or route.
Local driving style and tips
Drivers are careful and roads are well marked.
Local driving rules in Reykjavik are followed closely. Expect good signage, calm traffic and clear lane markings. Headlights are required at all times, even during the day.
Find Reykjavik car hire deals

The most popular car rental companies in Reykjavik

Flizzr
Street Rent a Car
RAS Car Rental
Europcar
Alamo
City Car Rental

What's the most popular car to hire in Reykjavik?

Based on recent Skyscanner data, the Suzuki Vitara is the most popular car to hire in Reykjavik, with prices starting from ₹9,513 per day. The Hyundai i10 and similar models are also popular drives in Reykjavik.
Suzuki Vitara
Suzuki Vitara15% chose this
Hyundai i10
Hyundai i1012% chose this
Dacia Duster SUV
Dacia Duster SUV12% chose this
Suzuki S-Cross
Suzuki S-Cross7% chose this
Most popular carSuzuki Vitara
Why?Spacious, practical, good for families

Reykjavik's cheapest car hire providers

Flizzr has the cheapest car hire in Reykjavik right now, with prices from ₹9,513 per day. You'll save an average of ₹2,548 per day when you book with them.
Flizzrfrom ₹9,513 per day
Alamofrom ₹10,737 per day
Thriftyfrom ₹11,465 per day
Saga Car Rentalfrom ₹13,981 per day
Cheapest providerFlizzr
Book with them to save around₹2,548 per day

Choose from the best car hire companies in Reykjavik

Hiring a car in Reykjavik: Fast facts

Here's everything you need to know to hit the road happy.
Most popular car hire companyFlizzr
Most popular carCompact, 4-5 doors
Average daily price₹ 30,629
Best time to book3 weeks before

How to book the best car rental deals in Reykjavik

We’re frequently named as the most trusted travel search site out there. We scan hundreds of trusted travel providers and put it all in one place, allowing you to instantly compare car hire rates and then book with no fees. Here's how to get the most out of your Reykjavik car rental search.

How to find a cheap car hire deal in Reykjavik

  • Searching for a cheap rental car in Reykjavik? You've landed in the right place. With prices averaging ₹ 30,648 a day, we compare all the best offers so you can search smarter, spend wiser, and feel good about what you paid.

  • ₹ 9,518 is the cheapest daily price for a rental in Reykjavik.

  • Planning a longer trip and want to explore beyond the tourist trail? ₹ 66,625 is the best rate for a weekly rental.

  • If you want to get the timing right, book around four weeks ahead to score yourself the best price on a Reykjavik car hire.

  • Ice Rental 4x4, FairCar and Flizzr are some of the most popular providers in the city. Use them as a starting point to compare offers.

  • Whether you go with Ice Rental 4x4 or another supplier, be sure to check the coverage on your Reykjavik car hire. Some companies include a collision damage waiver (CDW), while others offer it as an optional extra.

  • Consider booking a one-way rental. You might be able to score a good deal if the provider needs to move vehicles between sites. Discover the best available rates by clicking 'Return car to a different location.'

  • Avoid any unexpected charges by choosing a ride with a 'Fair fuel policy.' Start your journey with a full tank and return it the same, and pay only for what you use.

  • Hit the highway without tracking every mile and racking up additional fees. Go to the 'Policies' filter and choose 'Unlimited mileage' to find a car that lets you go the distance.

Best value car hire options right now

  • The best value can be found with this company, with average prices at ₹ 44,189 a day.

  • Offering daily rates of around ₹ 21,679, this provider is next in line.

  • The third option also comes in as one of the cheaper suppliers. Pick up one of their rentals for roughly ₹ 25,150 a day.

  • If you can't decide which wheels are right for you, consider something from the Compact rental category. It's the most commonly booked type of vehicle in Reykjavik.

Flying to Reykjavik? Think about an airport pick-up

Compare car hire types in Reykjavik

  • Small: Including classes like mini and economy, this cheap rental car in Reykjavik gives you the freedom to explore for less. These zippy, fuel-efficient rides are excellent for city driving and short trips.

  • Medium: A top choice when you want something that's easy to drive but with some added perks. This category covers compact and intermediate models that come with a bit of extra room compared to smaller cars.

  • Large: Offering greater driving comfort and extra tech features, this Reykjavik car hire category includes full-size cars. With larger rear seats and ample storage space, they let you load up and take everyone, and everything, with ease.

  • SUV: SUVs are your four-wheel fix for wanderlust. All-wheel drive and everyday versatility equip them for urban streets and winding backroads alike.

  • Van: Go for this vehicle category when you want a car for rent in Reykjavik that makes light work of heavy loads. Featuring options like commercial vans and trucks, they're designed to carry more, whether that's equipment, baggage or a bunch of your favourite people.

Insurance and optional extras

  • Excess insurance covers the fee you'd have to pay if your Reykjavik car hire is stolen or damaged. While not compulsory, you'll be glad to have it if something goes wrong. Keep in mind that insurance policies vary between providers, so make sure you know exactly what's included.

  • From navigation systems to reverse cameras, the right extras can totally transform your drive. Think about which features will make your trip more comfortable when you rent a car in Reykjavik.

Good to know

  • To rent a car in Iceland, you generally have to be at least 21 years old. Some companies may offer rentals to younger drivers for an additional fee, so carefully review the policies before finalizing your ride.

  • If you're travelling with kids, find out if you need to add a child car seat to your Reykjavik car hire booking. Whether a legal requirement or not, they're always the safest way for youngsters to travel.

  • Make sure you have the necessary documents when collecting your car. As a rule, bring a valid driver's licence, a credit card with enough funds for the excess (debit cards usually aren't accepted), and another form of photo ID. Your booking will confirm exactly what's required.

  • If it's your first time driving in Iceland, keep in mind that traffic here sticks to the right side of the road.

  • Make sure you follow the local speed limits. Usually that's around 45kph in built-up areas and 85kph or so on highways, unless signs say otherwise.

  • A blood alcohol concentration (BAC) limit of 0.05% applies in Iceland. The only sure way to stay legal to drive is to skip the drinks.

  • One of the busiest times for traffic in this destination is around 8am. Make travel easier by steering clear of peak periods.

  • You'll be using the Icelandic króna (ISK) on your trip here. Along with your bank cards, consider bringing some cash for smaller purchases.

Best hotels in Reykjavik for drivers

  • Offering parking, 101 Hotel, a Member of Design Hotels takes the guesswork out of where to leave your car. This hotel is around 0.32 kilometres from central Reykjavik and also comes with car hire options and a restaurant.

  • Strand Hotel Apartments makes travel simpler with parking and features like Wi-Fi and a kitchen. It's roughly 8 kilometres from the city centre.

  • Need more ideas? Browse the full list of hotels in Reykjavik. You can narrow things down with filters — try 'Parking,' 'Outdoor parking,' or 'Valet parking.' If your car's electric, you can select the 'Electric vehicle (EV) charging station' filter too.

  • After you've found a car hire deal in Reykjavik and your hotel, it's time to plan your adventures. The Northern Light Centre, Harpa and Sun Voyager are a classic introduction to the city.

Hit the road: Where to drive to from Reykjavik

  • Around 21 kilometres north of central Reykjavik, Akranes should be on your itinerary. Head straight for can't-miss sights like Akrafjall Mountain and Akranes Folk Museum.

  • Add Selfoss to your trip lineup. Grab your cheap car hire in Reykjavik and drive roughly 48 kilometres southeast to discover major attractions such as Paradisarhellir Cave and Bobby Fischer Centre.

  • Relax after a big day out in Selfoss at Hotel Selfoss or Hotel South Coast. These hotels cater to visitors bringing their own car.

  • Not ready to hit the brakes just yet? Take off to Saudarkrokur, about 209 kilometres northeast of Reykjavik. From Drangey Island to Puffin and Friends, your journey will end on a high note.

Frequently asked questions

On average, hiring a car in Reykjavik will set you back around ₹ 30,648 per day or ₹ 83,456 per week. 

The cheapest car to rent in Reykjavik is a compact estate (sometimes known as a station wagon). The most popular is Compact, 4-5 doors.

The cheapest car hire companies in Reykjavik are currently Geysir and RAS Car Rental.

Bagging the best car hire deal depends on when you book  – often, it pays to book your wheels as far in advance as possible. But according to our data, the cheapest month to rent a car in Reykjavik is currently October.

On average, around ₹ 83,456. But the best price we found for car hire for a week in Reykjavik is ₹ 66,625.

Based on everything we know about daily prices, the average cost to hire a car in Reykjavik for a whole month is ₹ 313,894. 

But sometimes, you'll get a discount for booking a whole month instead of 3 and a half weeks. So play with your dates to find the best deals!

If you're looking for freedom to explore Reykjavik, choose a car with unlimited mileage, or look for car hire deals with a ’full to full' fuel policy as opposed to a 'half-full to full' one.

We also clearly highlight car and van hire options in Reykjavik that have free cancellation

Yes – you can easily find car hire companies that allow you to pick up your car in one place, and then drop it off in another. Just select ‘Return car to a different location’ when you search with us.

Public transport can only get you so far, and could be tricky to navigate with children or luggage. With your own set of wheels, you can go wherever you want, whenever you want, for as long as you want. And you'll be able to discover more outside of Reykjavik.

Most places – Reykjavik included – allow under 25s to rent a car as long as they provide a valid driver's license and the correct documentation. It may cost slightly more due to a higher insurance excess for young drivers. 

The cheapest price we found for an economy car is ₹ 10,512 per day. The average price per day is around ₹ 25,231.

Of course. Most major car hire companies like Flizzr, Street Rent a Car and RAS Car Rental offer baby and child seats as an add-on when you book.

Other travellers rated FairCar as the best overall in terms of experience.

We search the internet for all kinds of vehicle hire deals, including vans. But at the moment, we can't find any van hire in Reykjavik.