Iceland car rentals in 2025
Get helpful information to start your search for the perfect car hire in Iceland. The average price data is based on the last 12 months and was last updated on 22 October 2025.
Most popular company | Ice Rental 4x4 |
|---|---|
Most common car type | Intermediate |
Average price per day | $54 |
Cheapest price per day | $49 |
Cheapflights insights for Iceland car rentals
Get relevant, data-driven information to help you hire a car in Iceland, including pricing trends, ideal booking times, and more.
How far in advance should I hire a car in Iceland?
Book your rental car in Iceland 7 days before your pickup date to maximise your savings. Car rental prices are around $85/day on average when booked 7 days ahead, which saves you 51% off the average price.
What is the cheapest month to hire a car in Iceland?
The cheapest month to hire a car in Iceland is January, when you can expect to pay $75/day on average. The most expensive month to hire a car in Iceland is July ($166/day on average). The average daily car hire price for each month is shown below. Keep in mind that prices will vary based on availability, when you book, and the type of car you hire.
January
$75
February
$77
March
$77
April
$78
May
$85
June
$122
July
$166
August
$155
September
$96
October
$84
November
$78
December
$82
What car do most people hire in Iceland?
SUV cars (Suzuki Vitara, for example) are the most popular in Iceland. Mini (Kia Picanto) and Economy (Suzuki Vitara) cars are also often chosen by our users when visiting Iceland.
Which car hire company has the most locations in Iceland?
keddy by Europcar has 21 locations throughout the area, more than any other company. Sunnycars has the second-highest number of locations in Iceland at 19.
Top rental agencies in Iceland
Explore the leading car hire agencies in Iceland known for their outstanding service and extensive range of vehicles to choose from. There are currently 8 car hire companies in Iceland. Reviews were last updated on 22 October 2025.
Europcar
Hertz
Budget
Thrifty
Dollar
Ice Rental 4x4
Ice Rental Cars
Avis
Car rental FAQs
Find answers to frequently asked questions about car hires in Iceland, including policies, requirements, and more. FAQs were last updated on 22 October 2025.
What is the cheapest city to get a rental car in Iceland?
At $54/day, it is 0% cheaper on average to rent a car in Reykjavik than any other city in Iceland. The cheapest price found in Iceland was for $32/day in Reykjavik.
What side of the road do you drive on in Iceland?
In Iceland, drivers are expected to drive on the right side of the road.