Best Budget Stays in Selfoss, Iceland
Selfoss is a practical town in south Iceland and a good base between the Golden Circle and the South Coast, and the stays I list here carry the budget label: guesthouses, a country hotel and apartments rather than resorts. I do not show rates on this page, so the label tells you the kind of stay, not a price comparison. What I can describe is what each one offers, from a family-run guesthouse with Hekla views to a guesthouse with a hot tub and a shared kitchen. Below I explain which suits a couple, a family or a traveller who wants to cook and keep the evenings simple.
Selfoss is the largest town in the area, a working centre with shops and services rather than a sightseeing stop. Its value is position: the Golden Circle is close, the South Coast is a drive away and the countryside around town is quiet at night. Stays here are about guesthouses, kitchens and parking for people who spend their days on the road.
Where to stay
Affordable guesthouses for day-trip drivers
Budget in Selfoss mostly means family-run guesthouses, a country hotel and self-catering apartments, with free WiFi, free parking and often a shared kitchen. Because rates change with dates and demand, I leave prices to the booking page and describe the practical things: private or shared bathrooms, kitchens, parking and what is nearby. The town is a base for day trips by car along the Golden Circle and the South Coast.
Guesthouse Bitra B&B is the most reviewed stay here, rated 9.4 across 1,072 reviews. It is a family-run guesthouse 400 metres off Route 1 and 15 km from Selfoss, with simple rooms that look at Mount Hekla or the countryside, free WiFi, a terrace and homemade breakfast items. It is described as a convenient base for the Ring Road and for watching the Northern Lights. I would choose it for a traveller who wants a calm country setting and a breakfast, and who does not mind the short drive into town.
Ásahraun Guesthouse offers lodge-style accommodation with a sun terrace, a garden, free WiFi, an outdoor fireplace, a hot tub and a shared kitchen, with the Ljosifoss waterfall 3 km away, rated 9.5 across 952 reviews. South Central Guesthouse has rooms with private bathrooms, some with garden or mountain views, a seasonal outdoor swimming pool, a hot tub, a sun terrace, free WiFi in public areas, a shared kitchen and a lounge, rated 9.2 across 816 reviews. Both give a soak and a kitchen at a guesthouse level, and the pool at South Central is seasonal.
The Old School House - Gaulverjaskoli has family rooms with private bathrooms and garden views, a sun terrace, a garden, a hot tub, an outdoor fireplace, barbecue facilities, free WiFi, a shared kitchen and free private parking, and it is pet-friendly, rated 9.5 across 146 reviews. Svala Guesthouses offers apartments with a terrace, free WiFi, air-conditioning, a well-equipped kitchenette, a private bathroom, garden and mountain views and free on-site parking, rated 8.8 from only 5 reviews, so its record is short. Both suit families who want space and a kitchen of their own.
Hotel Hjardarbol is the more conventional pick: a convenient base for the Golden Circle and the South Coast, 7 km from Hveragerdi and Selfoss, with rooms that have private or shared bathrooms, free WiFi, on-site parking, and a communal lounge with hot drinks and a souvenir shop. It scores 8.2 across 921 reviews, the lowest of the group, so I would read the room type carefully. It is a sensible choice for a traveller who values a lounge and local advice over a hot tub or a kitchen, and who is mainly passing through.
A traveler's takeI would choose Guesthouse Bitra B&B for a calm country night with Hekla views, Ásahraun Guesthouse for a hot tub and a kitchen, and Svala Guesthouses for a private apartment with a kitchenette, accepting that it has few reviews. My advice is to compare current prices on the booking page and use this page for the type of stay, and to check whether the bathroom is private, since Hotel Hjardarbol lists both private and shared options.
Budget & guesthouseÁsahraun Guesthouse
Comfortable guesthouse with a hot tub and shared kitchen near Ljosifoss
Why guests love itÁsahraun is a lodge-style guesthouse in Selfoss with a sun terrace, a garden and an outdoor fireplace, and the hot tub is the feature people remember. A shared kitchen lets guests cook their own meals, and WiFi is free. Ljosifoss waterfall is 3 km away, an easy detour. Communal spaces make it social rather than private. A good fit for couples and relaxed families who cook for themselves.
Budget & guesthouseThe Old School House - Gaulverjaskoli
Family-friendly guest house with a hot tub and mountain views near Selfoss
Why guests love itI recommend The Old School House to families, couples and pet owners who want a guest house with a hot tub near Selfoss. Family rooms have private bathrooms and garden views, and the property has a sun terrace, a garden, an outdoor fireplace and barbecue facilities, with a shared kitchen, free WiFi and free private parking. Guests rate it 9.5 across almost 150 reviews, a top score for a friendly, rural guest house.
Budget & guesthouseGuesthouse Bitra B&B
Family-run guesthouse with homemade breakfast and countryside views
Why guests love itGuesthouse Bitra B&B is a family-run guesthouse 400 metres off Route 1 and 15 km from Selfoss. Simple rooms look out to Mount Hekla or the surrounding countryside, and Wi-Fi and a terrace are included, with homemade breakfast items. It works as a base on the Ring Road and for watching the northern lights. Guests rate it 9.4 across 1,072 reviews, and I would pick it for a quiet, rural night.
Budget & guesthouseSouth Central Guesthouse
Comfortable guesthouse with a seasonal pool and hot tub in Selfoss
Why guests love itSouth Central Guesthouse in Selfoss has rooms with private bathrooms, some with garden or mountain views. A seasonal outdoor swimming pool, a hot tub and a sun terrace sit in a lush garden. Wi-Fi is free in public areas, and guests share a kitchen and a lounge. Guests rate it 9.2 across 816 reviews, and I would pick it for couples and families who want a pool and hot tub in summer.
Budget & guesthouseSvala Guesthouses
Spacious apartments with terraces and mountain views near Selfoss
Why guests love itSvala Guesthouses offers apartment-style accommodation in Selfoss, each unit with a kitchenette, a private bathroom, air-conditioning and a terrace. From the terrace there are garden and mountain views, and free private parking and WiFi are included. Selfoss is a handy base for the Golden Circle and the South Coast. Guests rate it 8.8 from 5 reviews. Our editorial verdict: a quiet, self-catered stop for families and couples driving the south.
Budget & guesthouseHotel Hjardarbol
A practical base for Golden Circle adventures with a warm welcome
Why guests love itHotel Hjardarbol is a base for the Golden Circle and the South Coast, 7 km from Hveragerði and Selfoss. Rooms come with private or shared bathrooms, and Wi-Fi and on-site parking are free. A communal lounge with hot drinks and a souvenir shop are available. Guests rate it 8.2 across 921 reviews, and I would pick it for road trippers who want a practical stop outside town and check which bathroom type they book.
Local tips
- 1I show no rates here, so compare the current price on the booking page and use this page for the type of stay.
- 2Guesthouse Bitra B&B is 15 km from Selfoss and 400 metres off Route 1, so plan for a short drive into town.
- 3Ásahraun Guesthouse and South Central Guesthouse both have a hot tub and a shared kitchen.
- 4South Central Guesthouse lists a seasonal outdoor swimming pool, so do not count on it in winter.
- 5Hotel Hjardarbol lists private or shared bathrooms, so check which room type you are booking.
- 6Free parking is listed at most of these stays, which matters because day trips here are by car.