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Iceland<\/a> is one of the most beautiful, most majestic countries in the world. With dazzling waterfalls, otherworldly lava fields, black sand beaches, and towering volcanic peaks, it\u2019s no surprise this island is beloved by all who visit. I\u2019ve never met any who didn\u2019t love the country.<\/p>\n That beauty, however, comes at a price. Iceland is very<\/em> expensive. It doesn\u2019t take much to blow your budget here, even if you\u2019re a frugal traveler like me.<\/p>\n Fortunately, the Land of Fire and Ice has a well-worn backpacker trail dotted with hostels that can make your visit more affordable<\/a>.<\/p>\n To help you plan your trip, below is my list of the best hostels in Iceland. They all offer a welcome respite and a cozy and friendly place to lay your weary head and hang out with fellow travelers \u2014 all while keeping your budget intact. <\/p>\n If you don\u2019t want to read the whole list, the following are the best in each category:<\/p>\n Want more specifics? Here\u2019s my comprehensive list of the best hostels in Iceland:<\/p>\n It\u2019s a very social hostel and the bar area makes it easy to meet people. The complex is also the long-term home of artists and designers, adding a hip, creative element to the place. There\u2019s a heated outdoor terrace, as well as kitchen facilities. It\u2019s also centrally located making it easy to get around the city.<\/p>\n KEX at a glance:<\/strong><\/p>\n The beds aren\u2019t anything special but the rooms are colorful and there\u2019s a kitchen if you want to cook. Linen is included in the price too (not always the case in Iceland). Overall, it’s a cool, fun little spot that’s great for meeting people.<\/p>\n The Freezer at a glance:<\/strong><\/p>\n There are 103 beds on three floors, consisting of mixed dorms, single-gender dorms, and private rooms. The dorm beds here are basic and not super comfy but there are lockers and the rooms are relatively spacious. The kitchen is fully equipped and there\u2019s even a sauna!<\/p>\n Akureyri Backpackers at a glance:<\/strong><\/p>\n Rooms consist of mixed dorms, female-only dorms, and private rooms. The beds have decent mattresses, and while there are no curtains, there are lights and outlets so you can charge your gear. Linens are included too, a not-so-typical perk for Icelandic hostels. The bathrooms are modern and clean, and the shower pressure is excellent (something I always appreciate!). The kitchen is decent, though it can get busy, so if you want to cook make sure you get in there early. <\/p>\n Bus Hostel at a glance:<\/strong><\/p>\n When you\u2019re not in your pod, hang out in the spacious common room and play board games and billiards with fellow travelers. <\/p>\n Hafnarstr\u00e6ti Hostel at a glance:<\/strong><\/p>\n Some rooms have nice city views. If not, head up to the rooftop deck; it\u2019s a lively and social place to meet other travelers. The hostel regularly puts on evening events, such as live music and stand-up comedy, and the staff go above and beyond if you have questions or need help planning your trip. Overall, it’s a comfy and social place that makes meeting people and socializing a breeze.<\/p>\n Loft HI Hostel Name at a glance:<\/strong><\/p>\n L\u00e6kur Hostel at a glance:<\/strong><\/p>\n The dorm bunks are basic but comfy, the rooms are clean and spacious, and there\u2019s a kitchen if you want to cook. The painting and design are a bit dated, but the hostel itself is comfortable and cozy and in a great location. The views here are excellent too (you can see the famous Kirkjufell, or Church Mountain, from some of the rooms). <\/p>\n Grundarfj\u00f6rdur Hostel at a glance:<\/strong><\/p>\n They have dorms as well as two-person rooms, four-bed private rooms \u2014 some with shared bathrooms and others with private bathrooms \u2014 and even a private apartment. While the beds in the private room are decent, the dorm beds are pretty basic. That said, the rooms are clean, and the showers have excellent pressure (the bathrooms are spotless too).<\/p>\n Hafaldan HI Hostel \u2013 Old Hospital at a glance:<\/strong><\/p>\n Iceland<\/a> has a ton of hostels and, throughout the country, I was always amazed at how incredible they were. Even in small little towns, you could sometimes find a really modern, clean, and comfy hostel. And, given the country\u2019s popularity, they are often full of other travelers so you\u2019re always meeting people. Want to plan the perfect trip to Iceland? Check out my comprehensive guide to Iceland written for budget travelers like you! It cuts out the fluff found in other guides and gets straight to the practical information you need. You\u2019ll find suggested itineraries, tips, budgets, ways to save money, on and off the beaten path things to see and do, and my favorite non-touristy restaurants, markets, bars, transportation tips, and much more! Click here to learn more and get your copy today.<\/a><\/p>\n<\/div><\/div><\/div><\/p>\n Get all my best Europe travel tips as well as free planning guides sent straight to you and see more of the country for less! <\/p>\r\n<\/div>\r\n\r\n\n\n\nBest Hostel for Budget Travelers<\/strong>:\n<\/div>\n\nThe Freezer<\/a>\n<\/div>\n<\/div>\n\n\nBest Hostel for Families<\/strong>:\n<\/div>\n\nGrundarfj\u00f6rdur Hostel<\/a>\n<\/div>\n<\/div>\n\n\nBest Hostel for Solo Female Travelers<\/strong>:\n<\/div>\n\nKEX<\/a>\n<\/div>\n<\/div>\n\n\nBest Hostel for Digital Nomads<\/strong>:\n<\/div>\n\nKEX<\/a>\n<\/div>\n<\/div>\n\n\nBest Hostel for Partying<\/strong>:\n<\/div>\n\nLoft HI Reykjavik<\/a>\n<\/div>\n<\/div>\n\n\nBest Overall Hostel<\/strong>:\n<\/div>\n\nKEX<\/a> or Loft HI Reykjavik<\/a>\n<\/div>\n<\/div>\n<\/div>\n1. KEX Hostel (Reykjavik)<\/a><\/h3>\n
![\"cozy](\"https:\/\/media.nomadicmatt.com\/2021\/Kex-hostel.jpg\")
\nThis 200-person hostel is set in a former biscuit factory (kex<\/em> is the Icelandic word for \u201cbiscuit\u201d or \u201ccookie\u201d). The huge Scandi-industrial-chic space has myriad types of rooms: mixed dorms, female-only dorms, private double rooms, and rooms that can accommodate families. The dorms have really thick mattresses (a big plus) as well as lockers, but the beds don’t have curtains.<\/p>\n\n
\n <\/p>\n2. The Freezer (Sn\u00e6fellsb\u00e6r)<\/a><\/h3>\n
![\"The](\"https:\/\/media.nomadicmatt.com\/2021\/the-freezer-hostel.jpg\")
\nLocated in Sn\u00e6fellsb\u00e6r in western Iceland, The Freezer isn\u2019t big: it has four rooms and can accommodate just 22 travelers. But what it lacks in size it makes up for in fun. This is an artsy, laid-back backpacker hostel where it\u2019s easy to meet people and socialize. The in-house tiki bar is lively, particularly during the 6\u20138pm happy hour. Common areas have ample board games, and there are regularly scheduled events like film screenings, pub quizzes, and live music. <\/p>\n\n
\n <\/p>\n3. Akureyri Backpackers (Akureyri)<\/a><\/h3>\n
![\"Akureyri](\"https:\/\/media.nomadicmatt.com\/2021\/akureyri-backpackers.jpg\")
\nSet in the center of town near bars, restaurants, and coffee spots, this hostel is about as lively a place as you\u2019ll find in the northern town of Akureyri. The in-house bar serves up a few different local brews on tap and also a menu of non-Icelandic comfort food\/tummy fillers like burgers and nachos. <\/p>\n\n
\n <\/p>\n4. Bus Hostel (Reykjavik)<\/a><\/h3>\n
![\"hostel](\"https:\/\/media.nomadicmatt.com\/2021\/bus-hostel-reykjavik.jpeg\")
\nSet in a quiet residential neighborhood about a 15-minute walk from central Reykjavik<\/a>, this modern hostel is very close to the main bus station (hence the name), making it very convenient for coming from and going to the airport. The on-site bar, Buzz, is a fun place to sample one or all of the four beers on tap.<\/p>\n\n
\n <\/p>\n5. Hafnarstr\u00e6ti Hostel (Akureyri)<\/a><\/h3>\n
![\"Pod](\"https:\/\/media.nomadicmatt.com\/2021\/Hafnarstr%C3%A6ti-Hostel.jpg\")
\nThis modern hostel is made up of capsule rooms, just in case you wanted a sci-fi experience while in Iceland. Instead of a regular bunk bed, you\u2019ll get your own pod that seals shut, allowing you to get a decent sleep without the common dorm-room distractions. The pods are actually quite spacious and have plugs, storage space, and a video screen. The beds are comfortable, and the bathrooms are super clean too. <\/p>\n\n
\n <\/p>\n6. Loft HI Hostel (Reykjavik)<\/a><\/h3>\n
![\"group](\"https:\/\/media.nomadicmatt.com\/2021\/loft-hi-hostel-roof.jpg\")
\nOnce voted the best hostel on the planet, this Reykjavik spot has a lot to live up to. And it doesn\u2019t disappoint. Dorms and private rooms are nice enough that you\u2019ll love chilling out in the room for a while. The dorm bunks, while basic, are comfy, and the mattresses are thick. <\/p>\n\n
\n <\/p>\n7. L\u00e6kur Hostel (Reykjavik)<\/a><\/h3>\n
![\"common](\"https:\/\/media.nomadicmatt.com\/2021\/L%C3%A6kur-Hostel.jpg\")
\nL\u00e6kur is named for the thermal springs that stream beside it. There are rooms aplenty, including single, double, and triple private rooms as well as eight-bed dorms. The beds are comfortable, though the bunks don\u2019t have curtains (they have their own plug and lights though). The rooms and bright and airy though, which is a nice plus. The chic bathrooms are spotless and the showers have great water pressure (something I always appreciate). The large, shared kitchen is big and equipped enough that you may be tempted to cook your own food every night, though the Nordic-themed caf\u00e9 has some good offerings too. <\/p>\n\n
\n <\/p>\n8. Grundarfj\u00f6rdur Hostel (Grundarfj\u00f6rdur)<\/a><\/h3>\n
![\"Grundarfj\u00f6rdur](\"https:\/\/media.nomadicmatt.com\/2021\/Grundarfj%C3%B6rdur-Hostel.jpg\")
\nGrundarfj\u00f6rdur Hostel is a nice base for exploring Sn\u00e6fellsnes Glacier National Park, a place with supposedly magical properties. The hostel is dominated by a two-story red building \u2014 the reception desk and lobby \u2014 but has sleeping quarters scattered throughout the small village. <\/p>\n\n
\n <\/p>\n9. Hafaldan HI Hostel \u2013 Old Hospital (Hafaldan)<\/a><\/h3>\n
![\"people](\"https:\/\/media.nomadicmatt.com\/2021\/halfaldan-hostel.jpg\")
\nAs the name suggests, this cozy hostel is set in an erstwhile medical facility. There\u2019s a spa (with a sauna!) and they have extra comfy rooms.<\/p>\n\n
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\nGet the In-Depth Budget Guide to Iceland!<\/span><\/h3>
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