There is a huge variety of accommodating options in Iceland, everything from a ‘under the midnight sun’ stay up to a luxury hotels. Just be sure that for the main summer season is a rule:
Book your accommodation as soon as possible!
So here, lets see how it all works:
Campsites – are quite often of the first travelers choice. The prices vary between 700 – 3.300 ISK/night/person. Most campsites have a same price for people staying in tents and for those staying in campervans, but some campsites the price differ, when it is more expensive for those staying in campervans. Some offer a discount for a longer stay. In Iceland, there is one free Gata-campsite, and one place where you can pitch up your tent close to Látrabjarg. If you plane to stay in Iceland for a longer period, you may consider to buy and use and Icelandic campingcard (up to 28 nights for a price of 8 nights) – you can read more in an article on how to save money in Iceland.
Here is a map of campsites in Iceland.
Hostels – you can find hostels in many towns all around Iceland, additionally in many camps as well. The price is about 5.000 ISK/night/pp or 15.000 ISK/night/doubleroom.
Guest houses / Airbnb – Airbnb in really popular here in Iceland, so popular the government had to take some steps for restriction. Still Airbnb works and here you can claim your 24 USD/or eqivalent bonus for your Airbnb stay.
Hotels – there is a huge variety and hotel options all around Iceland with prices starting as low as 14.000 ISK/night to astronomical hights depending on season, location and service.
Huts – In central highlands you can find huts (combined with campsites) where you can find an accommodation during the summer time. If you plan to stay in the huts along the popular hiking routes, be sure to make your reservation AT LEAST six months in advance.
Campervans – combine wheels and a place to sleep. Surprisingly a popular choice for many. Read more about this in the chapter about Campervans in Iceland.
To better plan your stay and accommodation, you might want to read the article on Itineraries for your perfect Icelandic stay.