Cheap Hotels in Eastern Region from AU$135

"After a long day exploring Jökulsárlón Glacier Lagoon and ice caves, this stay felt like a reward. This guesthouse was truly one of our favorites of the entire trip. The staff were incredibly welcoming and helpful—especially pointing us toward nearby laundry facilities, which was a lifesaver mid-trip. Complimentary coffee and hot chocolate made it even easier to unwind. The room was stunning—modern, thoughtfully designed, and incredibly comfortable. We loved the loft-style layout, built-in storage for luggage and coats, and the spa-like bathroom with a powerful rain shower. The large windows were perfect for Northern Lights viewing. Breakfast leaned more continental (pastries, breads, cold cuts) rather than hot items, but everything was fresh and satisfying. Bonus: a delicious homemade carrot cake from the front desk staff! Great location for exploring Höfn—maps at the front desk were super helpful. We also enjoyed a fantastic dinner at Pakkhús Restaurant and loved strolling the charming town (don’t miss the rainbow street). A cozy, stylish, and memorable stay—highly recommend."

"Stunning hotel, sitting in the hot tub overlooking the mountains is incredible."

"It’s a great place to stay if you are looking for a small hike for an up close glacier view in the morning which is right behind the hotel. Breakfast is included which is great. They should definitely improve on the overall hygiene and room space. "

"No breakfast"

"Lovely little cottage hotel. Perfect for our family of 5, we each had our own bed. Its in a quiet location, which we enjoyed. There aren't many food options, so keep that in mind. But overall, our stay here was great. This was a convenient place just a 15 minute ride to the Jokulsarlon lagoon, where we started our glacier tour teh next day,"

"Everything is good."

"The hotel was clean and the staff were friendly. I believe they were just opening up after a winter break so some amenities were closed but the location is close to a town so that was no problem."

"Great history in this hotel. Roads were closed to original hotel and this hotel didn’t do anything less than be impressive! Excellent tasting menu! Views, and excellent staff rooms and spa! Thank you ! "

"The hotel was nice and the staff was friendly."