Top Pensions in Southern Region in 2026

A waterfall cascading down a cliff into a valley with a river flowing through it.

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Top Southern Region Hotel Reviews

Hótel Dyrhólaey

10/10 Excellent

"Nice place to stay if you aren’t looking for anything too fancy. Free breakfast was great and had lots of options. Staff seemed very nice. Good location."

The Fox Hostel

10/10 Excellent

"I was pleasantly surprised. The bed was comfortable, plenty of individual showers and WC. Our room was quiet, but I can see how other experiences might vary. We personally loved all the energy of the place. It was fun to hear multiple languages and meet people from all walks of life. Restaurant was a social hub. Location was close to lots of places."

The Greenhouse Hotel

10/10 Excellent

"Staff were helpful--went out of their way to help me find a pair of glasses. The greenhouse theme makes the place unique with a cozy feel, and the on-site food options as well as the 24/7 store is a superb perk not to be taken for granted in Iceland! Only complaints are a couple of old stains on the bedsheets (minor), and the blackout curtains don't really block the bottom of the window well--however, the easy workaround is to just set the couch cushions up against that area. There is some background sound from the street, but nobody honks horns in Iceland, so this is just white noise, and didn't bother us at all. I would certainly stay again, particularly because of the on-site eating options (saves lots of time!) and strategic location to popular spots (both within the town and beyond)."

Welcome Lambafell

10/10 Excellent

"This place had so many bad reviews that I was terrified before staying here but it was totally fine! Exactly as described. You can’t check in late and you get a code via email. I imagine some people run into trouble with that but we had no issues. It was very easy. The rooms were clean and nice. The area is scenic and the hot tub is relaxing."

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Top Southern Region Hotel Reviews

Hótel Dyrhólaey

Hotel Katla by Keahotels

The Fox Hostel

The Barn - Hostel

Black Beach Suites

Aurora Igloo South

The Greenhouse Hotel

Hotel Loa

Welcome Lambafell

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