BEST HOTELS IN ICELAND WITH GEOTHERMAL POOLS AND HOT TUBS (ALL BUDGETS)
- Jan 21
- 8 min read
Updated: Jan 26
Planning a trip to Iceland can be overwhelming, especially when searching for the best locations to enjoy the country’s renowned geothermal waters without the crowds. While the Blue Lagoon is well-known and the Sky Lagoon is breathtaking, if you're after a more intimate and secluded experience keep reading!
If you envision unwinding in a private, naturally heated hot tub after a day spent exploring waterfalls and picturesque black sand beaches, this guide is crafted just for you. Here, you'll find hotel and guesthouse recommendations featuring on-site geothermal pools or hot tubs that promise an unforgettable and authentic Icelandic getaway.
Choose from the drop-down menu below to get loads of helpful info that'll make your trip to Iceland even better.
WHAT IS GEOTHERMAL WATER
Geothermal water is naturally occurring hot water extracted from beneath the Earth's surface. Iceland utilizes the geothermal energy by accessing these naturally occurring hot water and steam reservoirs located beneath the Earth's surface. It is used for a variety of purposes such as energy production and heating.
Geothermal water contains a unique blend of minerals, such as calcium, magnesium, sulfur, silica, and potassium which is absorbed as it passes through underground rocks. The mineral composition varies by region and can offer health benefits, including relaxation, improved skin health, and improved digestion.
Fun fact: over 90% of all of Iceland's power is Geothermal.
USEFUL ICELANDIC WORDS TO LEARN BEFORE YOU GO:
Suffix: an affix occurring at the end of a word, base, or phrase
Courtesy - merriam-webster.com
The Icelandic language is known for its lengthy words, which can be tricky to pronounce. Understanding the English translations of the suffixes at the end of these words greatly improves your ability to understanding your environment, particularly when it comes to interpreting signs.
For example:
Seljalandsfoss - foss - waterfall
Fjaðrárgljúfur - gljúfur - canyon
Vatnajökull National Park - jökull - glacier
Town of Egilsstaðir - staðir - place
Words to Learn:
Á - large steam or river
brú - bridge
dalur = valley
ey - island
fjall = mountain
fjöll = mountains
fjörður = fjord
foss = waterfall
gata = street
gljúfur = canyon
holt - a small hill
hraun - lava
jökull = glacier
kirkja = church
Staðir = place
vegur = general term for road
vellir - fields
vík = cove, bay, inlet
viti - lighthouse
USEFUL APPS/WEBSITES TO BOOKMARK FOR ICELAND:
WEATHER
This is the official Iceland weather app so one you can definitely trust.
Great app for monitoring wind and cloud coverage. Both super important to know. Wind if you're driving (check the gusts) and cloud coverage for Northern Lights.
GETTING AROUND ICELAND
Parka - Use this app to pay for parking around Reykjavik and Iceland's National Parks.
Easy park - Parking app used around Reykjavik
Tip: take a photo of your rental license plate to keep it on hand (unless you have a super good memory)
Scooter hire app
Scooter, car share & taxi hire app
Longtime Taxi hire service
Note: Taxis can get super expensive in Iceland.
Klappið - public transport app for buses
CAR RENTALS
Most popular:
Blue Car Rental (image used)
Some others:
Tip 1: Fork out for total coverage. The weather is wild and unpredictable in Iceland so there is a higher risk of damage.
Tip 2: If picking up from airport be aware that some car rental companies are a shuttle bus ride away not directly at the airport.
FUEL MONITORING
https://iceland-fuel-stations.com/fuel-map
ROAD CONDITIONS
If driving, you can see which roads are paved or unsealed
A popular app that displays the road conditions. Super helpful when driving to know which roads are closed, have road works, are icy etc.
CAMPING
tjalda.is and/or Happy Camper
Shows you all the campsites and availability
Útilegukortið.is - Iceland camping card app
NORTHERN LIGHTS TRACKING
Aurora Forecast & Alerts (image used) Apple Store
Google Store Aurora Alerts
Apple Store Google Store Between both of these and the windy app for cloud coverage, you should have enough information to know when the Northern Lights are about to happen or are happening.
Some have extra features for a cost which can be worth it if seeing the lights is a MUST.
OTHERS
Safetravel
An app that combines information on weather, road conditions, recent alerts, and also acts as an emergency app. If you're heading off the main roads or going hiking and trekking, the app lets you send your GPS location to 112 emergency services so they can find you. Pretty handy right?!
Hand-picked guide - an app made by Icelanders with local recommendations/places to explore off the usual tourist track.
Ása Steinars - a local who shoots amazing content. There is a range of free blog posts and tips, as well-paid content, which would be worth the purchase if you don't like creating your own itineraries.
Kringum app - provides detailed and interesting information on over 7000 locations around Iceland.
HOTEL MAP
Here is the full list of all the hotels we will cover in the list below. You can click on the tags to go straight to the hotel or scroll through for the full pricing, photos, and descriptions. Don't forget that each hotel is color coded to indicate price. For the full price breakdown go to my hotel map page here.
AROUND REYKJAVIK
REST OF ICELAND 11 🟣Hótel Jökulsarlon - Glacier Lagoon 12🟠Sigló Hótel by Keahotels 13🟡Blabjorg Resort 14⚪Heydalur 15🟣Svartaborg 16🟠Laugarfell 17🟣Fosshotel Glacier lagoon 18🟣Hotel 1001 Nott
HOTELS AROUND THE GOLDEN CIRCLE SPECIAL NOTES: > REMEMBER THE COLOR CODING FOR PRICING WHICH CAN BE FOUND IN MORE DETAIL HERE
> THE COLOR CODING ALWAYS INDICATES THE MAX PRICE BRACKET YOU WOULD PAY FOR A ROOM IN PEAK SEASON.
1. ⚫HVAMMSVIK NATURE RESORT & HOT SPRINGS
Located only 45min from Reykjavik is the Hvammsvik Nature Resort & Hot Springs. Whilst the hot springs can be visited on a day pass there is the option of also staying overnight in 1 of the 12 renovated historical buildings that line the shore, along with access to you own spring not available to the public. The location of the springs is right on the edge of the Atlantic Ocean, with some becoming submerged during high tide resulting in a mix of sea and geothermal water. A truly unique experience.
Hvammsvik
Max 9
From:
AUD $850+
USD $570+
EUR €490+
Per night
2.⚫THE RETREAT AT BLUE LAGOON
Did you know you can stay at the Blue Lagoon? This one in a lifetime experience doesn't come cheap however but gives you private access to parts of the Blue Lagoon not available to the public as well as luxury suites and stunning views over the Icelandic landscape, plus many more extra addons.
Grindavik
Max 2
From: AUD $2180+
USD $1460+
EUR €1250+
Per night
3.⚫TORFHÚS RETREAT
Located on the golden circle is the luxury eco retreat Torfhús which blends so well the traditional Viking heritage of Iceland with modern comfort. Each house is built from reclaimed timber, locally sourced basalt stone and finished with a grass roof. Most have private basalt stone geothermal hot pools. The other 3 houses share one.
Selfoss, south Iceland
Max 8
From: AUD $1,435+
USD $960+
EUR €825+
Per night
4. 🟡ÁSAHRAUN
A family run guesthouse with unique barrel shaped accommodations. There is a shared kitchen and shower but each barrel has its own separate toilet, sink and coffee/tea making facilities. It's a 15min drive from town giving you a great dark night sky for viewing the Northern Lights. These can also be enjoyed from a shared hot tub filled with natural spring groundwater.
Selfoss, South Iceland
Max 2
From: AUD $190+
USD $130+
EUR €110+
Per night
5.⚫HOTEL RANGÁ
Rangá is a luxury hotel located in South Iceland's countryside, not far off the main road on the bank of the Ranga River. In winter you can take advantage of the onsite astronomical observatory, a perfect location for viewing the Northern Lights. The outdoor hot tubs are geothermally heated and great for a nighttime soak under the stars.
Hella, South Iceland
Max 4
From: AUD $660+
USD 4445+
EUR €380+
Per night
6. 🟣LAKEVIEW RETREAT
At the center of the golden circle is Lakeview retreat, located on shore of Úlfljótsvatn Lake. Guests can appreciate the private location, floor to ceiling windows, panoramic views, ensuite bathtub (with a view) and of course the outdoor geothermal heated tub. One of the best bits is the price is stagnant and doesn't go up during peak season. How rare is that!
Úlfljótsvatn lake, Selfoss South Iceland
Max 2
From: AUD $650+ USD $435+ EUR €375+ Per night
HOTELS - REST OF ICELAND
11. 🟣HOTEL JÖKULSÁRLÖN
A great option for those who want to stay super close to the Jökulsárlón Glacier Lagoon, Diamond Beach and Vatnajökull National Park. Along with the incredible views of the Icelandic landscape, you also have access to all of the hotel's wellness facilities. This includes a sauna, a natural cold pool, gym and 2 outdoor geothermal hot tubs.
Max 3 adults or 2 adults & 2 kids
From AUD $450+ USD $300+ EUR €260+ Per night
12. 🟠 SIGLÓ HOTEL BY KEAHOTELS
Perched on the edge of the water in the picturesque town of Siglufjörður is Sigló Hotel by Keahotels. Featuring a classic Scandinavian design with all the modern comforts. The geothermal hot pool sits right at the water edges showcasing views over the surrounding mountains and fjord. There is also a sauna and steam room (also with the same amazing views). Other facilities include a restaurant called Sunna and a bar/lounge which also services the hot pool.
Siglufjörður
Max 3 adults
From: AUD $285+
USD $190+
EUR €164+
Per night
13. 🟡 BLABJORG RESORT
Blabjorg Resort is a little bit more off the main road than some of the others but well worth the trip. It is open year-round and has been converted into a resort from a former fish factory, located right on the oceanfront. Connected to the resort is Musteri Spa which has geothermal indoor and outdoor hot tubs, different types of saunas (Finnish, infrared, steam), plus unique offerings such as seaweed and beer baths. Yep, you read that right, you can soak in a bath full of locally made beer which is said to be a great source of vitamins and antioxidants. One of the other reasons people stay here is the puffin colony which is only a 5 minute drive away. Note: The Musteri spa is an added cost to your accommodation.
Bakkagerði
Max 6
From: AUD $225+
USD $150+
EUR €130+
Per night
14. ⚪HAYDALUR
Way out in the Westfjords is Heydalur Hotel. Heydalur offers cozy-rustic style rooms, cottages and even camping. Camping is priced at 2000ISK per person and includes use of facilities apart from electricity which is extra. Many activities are available such as horse-riding, snowshoeing, kayaking and hiking. There are multiple options at Haydalur to soak in geothermal water - hot tubs, a swimming pool and a natural pool.
Ísafjörður
Max 10
From: AUD $330+
USD $27+
EUR €23+
Per night
Just a heads up:
Please note that some of the links here are affiliate links (to be safe assume all). This helps me to be able to spend more time giving you great hotel recommendations. There is no cost to you but means I get a small commission from every booking made. If you plan to book through these sites anyway it would be much appreciated - but hope in the very least, you found somewhere to stay that you might not have otherwise. Thanks, Kirrily 😊