Iceland Holidays from AU$1,074

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Your Iceland Holiday

Book a holiday package to Iceland and experience travel on your own terms. You'll fall in love with its nightlife, culture and festivals. With so many things to see on a trip to Iceland, it can be tricky to know where to begin. Kick off your travels in Reykjavik at Reykjavik Harbour and Laugavegur — two much-loved attractions here. Another great city to add to your itinerary is Reykjanesbær. Be sure not to miss Blue Lagoon and Viking World Museum. When it's time to stop dreaming and start discovering, Expedia will help turn your Iceland holiday into a reality.

Top destinations in Iceland

Reykjavik
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Reykjavik

Reykjavik

The Latest Iceland Holiday Deals

Price found within the past 48 hours. Click for updated prices.
ODDSSON Midtown Hotel

ODDSSON Midtown Hotel

3.5 out of 5
Háaleiti
Save 100% on your flight
Price was AU$1,733, price is now AU$1,074 per person
AU$1,074
per person
4 May - 11 May
found 20 hours ago
Return flight included
London (LHR) to Reykjavik (KEF)
9/10 Wonderful! (1,002 reviews)
Everything was amazing. The breakfast, the rooms, the all day coffee, , cleanliness, games in the lobby….everything was perfect. The location was in Midtown not downtown, but it was a very easy bus ride anywhere you needed to go. Also many tour companies pick up right in front of the building.

Reviewed on 17 Feb 2026

Hotel Leifur Eiriksson

Hotel Leifur Eiriksson

3 out of 5
Downtown Reykjavik
Save 100% on your flight
Price was AU$2,153, price is now AU$1,286 per person
AU$1,286
per person
4 May - 11 May
found 20 hours ago
Return flight included
London (LHR) to Reykjavik (KEF)
8.4/10 Very Good! (1,000 reviews)
Excellent location, close to BSI bus terminal and shops. Clean room. Staff are very friendly and accommodating!

Reviewed on 7 Mar 2026

Reykjavik Residence Apartment Hotel

Reykjavik Residence Apartment Hotel

4 out of 5
Downtown Reykjavik
Save 100% on your flight
Price was AU$2,514, price is now AU$1,522 per person
AU$1,522
per person
4 May - 11 May
found 20 hours ago
Return flight included
London (LHR) to Reykjavik (KEF)
9.6/10 Exceptional! (3,210 reviews)
Everything was excellent!

Reviewed on 15 Mar 2026

ICELAND SJF Villa , Hot tub & Outdoor Sauna Amazing Mountains View - 15 min to downtown

ICELAND SJF Villa , Hot tub & Outdoor Sauna Amazing Mountains View - 15 min to downtown

4 out of 5
Save 100% on your flight
Price was AU$5,381, price is now AU$3,389 per person
AU$3,389
per person
4 May - 11 May
found 20 hours ago
Return flight included
London (LHR) to Reykjavik (KEF)
9.6/10 Exceptional! (28 reviews)
Absolutely great. The pictures don’t do the property justice. Very spacious, spotless clean, totally fell in love with the floors. The sauna and tub were spectacular, got some amazing aurora views while relaxing in both. The neighborhood was great, with multiple stores like Bónus just a few minutes away. The owner was super friendly. Would definitely stay here again.

Reviewed on 11 Dec 2025

Center Hotels Plaza

Center Hotels Plaza

4 out of 5
Downtown Reykjavik
Save 100% on your flight
Price was AU$2,100, price is now AU$1,389 per person
AU$1,389
per person
4 May - 11 May
found 20 hours ago
Return flight included
London (LHR) to Reykjavik (KEF)
8.8/10 Excellent! (1,446 reviews)
The room was really nice and the staff were so friendly. We really enjoyed the breakfast and highly recommend this hotel. Conveniently located in Reykjavík and close to the bus stops for transfers.

Reviewed on 10 Mar 2026

Iceland Holiday

Iceland's windswept fjords, lava fields and black-sand beaches offer endless photo opportunities, while its capital Reykjavik will keep you entertained with hip bars, eateries and nightlife.

Iceland Hotel + Flights

There are 2,706 hotels to choose from with Expedia starting at AU$233 a night. The even better news? If you bundle your flights and hotel with us, you stand to save some serious cash. While you’re at it, you might like to add a rental car and some exciting experiences to your Iceland Holiday Package. Not afraid of the cold? Add a tour of Langjokull Glacier and Ice Cave to your package.

Your Iceland Holiday Itinerary

  • Day 1: Pick up your rental car at Keflavík International Airport. It’s less than an hour’s drive to Reykjavik from here, but you’ll want to allow an extra few hours for a soak at the iconic Blue Lagoon on the way.

  • Day 2: From Reykjavik, head out on a day trip around the Golden Circle. This famous route takes you past some of Iceland’s most mesmerizing sights — Thingvellir National Park, Geysir Hot Spring Area and Gullfoss Falls.

  • Day 3: Explore the coastal town of Vik. With its uninterrupted skies, this is a great spot to view the northern lights. The beautiful basalt beach, Reynisfjara, and the nearby puffin cliffs are also must-sees.

Iceland Information

  • Held each February, the Winter Lights Festival will brighten your nights if you decide to visit at this time of year.

  • There’s lots to see and do in Iceland’s capital. Start planning your time here with ourReykjavik Holiday PackagesOpens in a new window.

Things to do in Iceland

Embark on an unforgettable adventure in Iceland, where stunning landscapes await. Enjoy a variety of outdoor activities, including thrilling ice caving and exhilarating glacier adventures. Pamper yourself with rejuvenating spa treatments at luxurious resorts. Consider joining guided tours and day trips to explore the diverse natural beauty and unique attractions of this enchanting island, making it perfect for romantic getaways or adventurous holidays.

Shopping

Your shopping experience in Iceland will be delightful. Visit Ullarselid - The Wool Hut for unique woollen gifts. Explore Kringlan Shopping Mall for a mix of business and entertainment, or head to Glerártorg for a vibrant family atmosphere and a variety of shops.

Recreation

Experience the Laugardalslaug Geothermal Pool, where you can soak in warm waters amidst a family-friendly atmosphere. For serene relaxation, Myvatn Nature Baths offer rejuvenating body treatments surrounded by stunning natural beauty. If you're a golf enthusiast, enjoy a round at Silfurnes Golf Course, set in picturesque outdoor surroundings.

Adventure

Experience thrilling skiing at Skalafell Ski Area, where you can carve through pristine snow while soaking in the breathtaking mountain scenery. For a family-friendly adventure, camp at Thakgil, surrounded by stunning landscapes, or embark on a scenic hike along the Naustahvilft trail for unforgettable outdoor moments.

Nightlife

Iceland's nightlife is vibrant and diverse. Begin at Reykjavik's lively Kaffibarinn for cocktails, then dance the night away at Club 11. For a more relaxed vibe, visit the cozy microbrewery, Borg Brugghús, offering local craft beers and a warm atmosphere.

*Distances are measured in a straight line; actual driving distances may vary depending on the route.

Find the best attractions in Iceland

Iceland offers a perfect backdrop for outdoor adventures, romantic getaways, and cultural experiences. With its stunning waterfalls, charming churches, and majestic mountains, the country is a treasure trove of attractions. Whether you're seeking thrilling outdoor activities or a deeper cultural immersion, Iceland has something for everyone. Don't miss the opportunity to discover the enchanting landscapes and unique charm of this remarkable destination.

  • Reykjavik Harbour: Experience the vibrant atmosphere of Reykjavik Harbour, where you can enjoy stunning coastal views and a lively maritime scene. Take a leisurely stroll along the waterfront, indulge in local seafood, and soak in the picturesque scenery that showcases Iceland's natural beauty.
  • Blue Lagoon: Immerse yourself in the soothing waters of the Blue Lagoon, a renowned geothermal spa. This outdoor haven boasts milky-blue waters rich in minerals, offering a unique wellness experience. Relax in the warm pools while surrounded by striking lava fields, creating a tranquil escape.
  • Jokulsarlon Glacier Lagoon: Discover the breathtaking Jokulsarlon Glacier Lagoon, where icebergs drift serenely in a stunning glacial landscape. Marvel at the striking contrasts of turquoise waters and white ice, making it a photographer's paradise and a site of natural wonder.

Best time to go to Iceland

The best time to visit Iceland is dependent on what kind of holiday you are seeking. July is its hottest month on average. At this time, visitor numbers are slightly high and weather is mostly cloudy with light rain. January is its coolest month on average. At this time, visitor numbers are slightly high and weather is mostly cloudy with light rain.

calendarCalendar MonthtemperatureTemperaturerainPrecipitationmostlyCloudinessoccupationOccupancypricePricing
January25.5°F (-3.6°C)Light RainMostly CloudySlightly HighSlightly Low
February32.5°F (0.3°C)Light RainMostly CloudyAverageAverage
March33.4°F (0.8°C)Light RainMostly CloudyAverageAverage
April38.5°F (3.6°C)Light RainMostly CloudyAverageSlightly Low
May38.5°F (3.6°C)Light RainMostly CloudySlightly LowAverage
June49.8°F (9.9°C)Light RainMostly CloudySlightly HighSlightly High
July52.9°F (11.6°C)Light RainMostly CloudySlightly HighSlightly High
August51.8°F (11.0°C)Light RainMostly CloudyAverageSlightly High
September47.1°F (8.4°C)Light RainMostly CloudyAverageAverage
October34.9°F (1.6°C)Light RainMostly CloudySlightly LowAverage
November36.0°F (2.2°C)Light RainMostly CloudySlightly LowSlightly Low
December30.7°F (-0.7000000000000001°C)Light RainMostly CloudyAverageAverage

Tips to save on your trip to Iceland

  • Combine your flights, hotels and car rentals on Expedia—bundling can result in significant savings.
  • Consider traveling during the off-peak season (typically January, April and November) for more affordable package holidays to Iceland.
  • Use the Price per traveler filter on Expedia to find a package deal that suits your budget.
  • Check the VIP Access properties filter to discover outstanding hotels with added member perks at select properties.

Our pick of the best Iceland Hotel Deals

Hotel Reykjavík Grand

Hotel Reykjavík Grand

4 out of 5
Sigtun 28 Reykjavik
Fully refundableReserve now, pay when you stay
The price is AU$233 per night from 29 Mar to 30 Mar
AU$233
29 Mar - 30 Mar
includes taxes & fees
9/10 Wonderful! (1,004 reviews)
The entire staff were some of the best. Olga at guest relations was amazing as well as everyone who worked the front desk.Dining room staff also excellent. Hotel was great

Reviewed on 16 Mar 2026

Hotel Reykjavík Grand
Grandi by Center Hotels

Grandi by Center Hotels

4 out of 5
Seljavegur 2 Reykjavik
Fully refundableReserve now, pay when you stay
The price is AU$252 per night from 6 Apr to 7 Apr
AU$252
6 Apr - 7 Apr
includes taxes & fees
9.4/10 Exceptional! (1,483 reviews)
Breakfast was great! Unfortunately housekeeping did not clean the bathroom & we’re in & out in about 8minutes, it was my birthday & despite offering a small complimentary treat it was never received. All in all a decent stay but few things could’ve been paid better attention too.

Reviewed on 15 Mar 2026

Grandi by Center Hotels
Hotel Vík í Mýrdal

Hotel Vík í Mýrdal

3.5 out of 5
Klettsvegur 1-3 Vik I Myrdal
The price is AU$360 per night from 27 Mar to 28 Mar
AU$360
27 Mar - 28 Mar
includes taxes & fees
9.4/10 Exceptional! (1,136 reviews)
Very clean room and helpful staff. The breakfast buffet was very good and There is also a very nice lounge on the ground floor if you wanted to relax or work.

Reviewed on 6 Mar 2026

Hotel Vík í Mýrdal
See all 2,706 properties in Iceland
Lowest nightly price found within the past 24 hours based on a 1 night stay for 2 adults. Prices and availability subject to change. Additional terms may apply.
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Frequently asked questions

How much does an Iceland holiday package cost?
Our Iceland packages, which begin at just AU$1,074, are an easy way to save. Choose your favourite hotels, flights and more to create your dream escape.
How do I get a cheap travel package to Iceland?
Just think of all the wonderful things you could do in Iceland with extra cash in your wallet. Watch your savings stack up when you bundle your flights, hotels and extras into an Iceland holiday package. You have plenty of choice with Expedia too. In fact, you can pick from over 550 air carriers and 1 000 000 properties around the world. Whether you're enjoying a break with the family or travelling with someone special, organising a trip to Iceland is better with a package.
Where should I stay in Iceland?
It's hard to go past Reykjavik, with well-known attractions such as Hallgrimskirkja and Blue Lagoon to explore. Or, if sights like Thingvellir National Park and Geysir Hot Springs are more your thing, Bláskógabyggd is where you should head.
What are the top hotels in Iceland?
Centre Hotels Plaza and Reykjavik Residence Hotel know how to make their guests feel at home in Reykjavik. If you also plan to explore Golden Circle, take a look at Hotel Vík í Mýrdal and Courtyard by Marriott Reykjavik Keflavik Airport. Both are very popular with travellers.
How far in advance should I book my Iceland holiday?
While not all air carriers release ticket prices early, you can usually compare international fares on Expedia up to a year in advance. This is the time when you can nab some fantastic deals. If you're purchasing tickets last minute, you may still be in luck. Low prices sometimes become available a few weeks prior to departure.
What does an Expedia Iceland travel package include?
Flights, hotels and a cool set of wheels for all your road trip adventures. Simply choose your preferred bundle and gain access to great discounts. Once you've made your booking, add on a few activities and tours and watch your savings grow. When it comes to organising your Iceland holiday, the choice is all yours!
What should I know before booking an Iceland travel package?
When you book your flights, hotels and car rentals together, you'll walk away with great discounts. Whether you're organising an island getaway in a villa or prefer to stay in a ritzy city hotel, Expedia will help make it happen.
Can I choose my airline with an Iceland Expedia holiday package?
With a holiday package, you're in charge. Whether you're eager to fly to Iceland in economy or first class, simply choose from the available airline options. Expedia has access to over 550 airline partners all over the world.
If I'm not able to travel, can I cancel my Iceland holiday package?
We get it — unexpected stuff happens. If you've booked an Iceland holiday package and need to cancel or amend it, we're here to help. We recommend looking up our Customer Service Portal first for information. But in general, if you've booked your package within 24 hours, you may be able to change your itinerary for free. If it's been longer than 24 hours, your airline, hotel or car rental company may impose a fee.

Discover the most popular places to visit in Iceland

Reykjavik Harbour featuring outdoor art, general coastal views and a sunset

Reykjavik Harbour

4.5/5(55 reviews)

Start your stay in Reykjavík with a trip to this antique port district, the point of departure for city tours, boat rides and more.

Reykjavik Harbour
Blue Lagoon which includes a luxury hotel or resort, modern architecture and a hot spring

Blue Lagoon

4.5/5(30 reviews)

Soak away your aches, get a massage treatment and swim in the milky blue waters of this mineral-rich geothermal pool sculpted by lava in Grindavik.

Blue Lagoon
Thingvellir National Park which includes mountains, general coastal views and snow

Thingvellir National Park

5/5(44 reviews)

See rifts where the earth’s continents are moving apart, visit a lava-strewn lake and learn about the political beginnings of Iceland.

Thingvellir National Park
* Savings based on package bookings compared to the price of the same components booked separately. Savings not available on all packages.