Cheap Car Rentals in Iceland from $164
This price is the cheapest per day rate found by a Cheapflights user in the last 48 hours by searching for a car hire in Iceland with a pick-up date of 22/7 and drop-off date of 29/7. Fares are subject to change and may not be available at all agencies or on all dates of hire. Click the price to replicate the search for this deal.
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 9 May 2025.
Most popular company | Ace |
|---|---|
Most common car type | Intermediate |
Average price per day | $109 |
Cheapest price per day | $164 |
What is the cheapest time to rent a car in Iceland?
Discover the most affordable period to rent a car in Iceland and save money on your trip. The monthly average price data is based on historical data over the last year and was last updated on 9 May 2025.
January
$72
February
$74
March
$72
April
$75
May
$79
June
$111
July
$134
August
$126
September
$86
October
$74
November
$74
December
$80
Currently, the cheapest month to rent a car in Iceland is January. The most expensive time to rent a car is July. The cheapest prices for each month are shown above, but prices will vary based on availability, how far out you book your rental car, and of course, car type.
Popular car types in Iceland
Explore the most popular car models available for hire in Iceland and choose the one that suits your needs. The price data is sourced from various car hire companies and was last updated on 9 May 2025.
There are currently 249 hire locations operating in Iceland spread across 68 car hire agencies. In the past week, the cheapest car type to hire in Iceland is small car at $164 a day. Below are all the 2 car types available for hiring in the area, along with estimated starting prices:
Economy
$164+
Compact
$198+
Full-size SUV
$436+
Mini
$173+
Compact estate car
$242+
Intermediate SUV
$274+
Compact SUV
$283+
Standard SUV
$452+
Compare available car types for rental in Iceland
Compare and contrast the various car types offered for hire in Iceland to find the perfect fit for your trip. Price data is based on averages over the last 12 months and was last updated on 9 May 2025.
Small cars | $51 - $176 | |
|---|---|---|
All Car Types | $58 - $174 |
To hire a small car in Iceland, you would pay an average price of $89/day. November is the cheapest month to hire a small car in Iceland (~$51/day), while the most expensive month to hire that same car type is July (~$176/day). In fact, November is about 43% cheaper than prices during the rest of the year to book a small car hire for Iceland. When comparing with other car types available for hire in Iceland, hiring a small car saves you 5% in costs. Please note that average prices are based on historical data and can vary depending on how early you book, availability for your travel dates, and vehicle popularity. Here are the best Iceland small car hire prices found by Cheapflights users in the past 7 days:
To hire a medium car in Iceland, you would pay an average price of $74/day. December is the cheapest month to hire a medium car in Iceland (~$55/day), while the most expensive month to hire that same car type is July (~$182/day). In fact, December is about 27% cheaper than prices during the rest of the year to book a medium car hire for Iceland. When comparing with other car types available for hire in Iceland, hiring a medium car saves you 20% in costs. Please note that average prices are based on historical data and can vary depending on how early you book, availability for your travel dates, and vehicle popularity.
To hire a SUV in Iceland, you would pay an average price of $90/day. November is the cheapest month to hire a SUV in Iceland (~$58/day), while the most expensive month to hire that same car type is July (~$166/day). In fact, November is about 37% cheaper than prices during the rest of the year to book a SUV hire for Iceland. When comparing with other car types available for hire in Iceland, hiring a SUV saves you 3% in costs. Please note that average prices are based on historical data and can vary depending on how early you book, availability for your travel dates, and vehicle popularity. Here are the best Iceland SUV hire prices found by Cheapflights users in the past 7 days:
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 9 May 2025.
Europcar
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Hertz
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Budget
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GREEN MOTION
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Thrifty
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Ice Rental Cars
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Dollar
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Ice Rental 4x4
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Best Iceland car rental deals found
Browse through a selection of recently found affordable car hire deals in Iceland. Plan your trip with ease and find the perfect hire option for your needs. There are currently 8 hire car agencies in Iceland with an average daily rate of $288. Data was last updated on 9 May 2025.
Car rental FAQs
Find answers to frequently asked questions about car hires in Iceland, including policies, requirements, and more. FAQs were last updated on 9 May 2025.
Which car hire company is considered to be the best in Iceland?
Taking our users’ ratings and reviews into consideration, Rent-A-Wreck (10.0 rating), Alamo (8.6 rating) and Budget (8.2 rating) seem to be the best car hire companies in Iceland.
What is the cheapest city to get a rental car in Iceland?
At $109/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 $57/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.
Car rentals by fuel type in Iceland
Browse car rentals by fuel type in Iceland. Currently, Petrol/Diesel cars are the cheapest to rent in Iceland. Deals were last updated on 9 May 2025.
Browse through car rental deals by fuel type in Iceland. There are currently 3 fuel types to choose from with Petrol/Diesel being the cheapest ($91+).
Electric
$121+
Hybrid
$101+
Petrol/Diesel
$91+