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Cheap Car Hire in Iceland

Driver's age: 26-65
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Iceland car hires 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 18 June 2025.

Most popular company

Fair Car

Most common car type

Intermediate

Average price per day

R1 055

Cheapest price per day

R647

Cheapflights insights for Iceland car hires

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?

For the best savings on car hire in Iceland, make your reservation 7 days before pickup. The average price then is just R859/day – about 1 514% less than the yearly average.

What is the cheapest car hire company in Iceland?

In Iceland, the most affordable car hire company right now is Firefly, offering prices from just R711,28/day over the past two weeks. Another budget-friendly choice is Northern Lights, with rates starting at R1 618,08/day.

What is the cheapest month to hire a car in Iceland?

At Iceland, the best time to hire a car is in January, with an average daily rate of just R769. Conversely, July is the priciest month, averaging R1 485 per day. Below youll find the monthly average car hire prices. Note that costs can fluctuate depending on availability, booking time, and vehicle type.|1#In Iceland, the best time to hire a car is in January, with an average daily rate of just R769. Conversely, July is the priciest month, averaging R1 485 per day. Below youll find the monthly average car hire prices. Note that costs can fluctuate depending on availability, booking time, and vehicle type.

January

R769

February

R787

March

R787

April

R805

May

R877

June

R1 216

July

R1 485

August

R1 360

September

R894

October

R787

November

R787

December

R859

What car do most people hire in Iceland?

The most popular types of cars to hire in Iceland are the following: Intermediate cars (Class Intermediate SUV or similar), SUV cars (Class Intermediate SUV or similar), and Compact cars (Kia Cee'd or similar).

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 18 June 2025.

Europcar

8,2
Very Good
33 reviews17 locations
Overview

Cleanliness

8,7

Comfort

8,7

Overall

8,2

Pick-up/drop-off

8,1

Value

8,0

Hertz

8,0
Very Good
30 reviews17 locations
Overview

Cleanliness

8,6

Comfort

8,4

Overall

8,0

Pick-up/drop-off

7,8

Value

7,6

Budget

8,0
Very Good
14 reviews8 locations
Overview

Cleanliness

7,9

Comfort

8,0

Overall

8,0

Pick-up/drop-off

7,9

Value

7,5

GREEN MOTION

7,9
Good
3 reviews5 locations
Overview

Cleanliness

7,9

Comfort

7,9

Overall

7,9

Pick-up/drop-off

7,9

Value

8,6

Thrifty

7,6
Good
19 reviews8 locations
Overview

Cleanliness

7,6

Comfort

7,6

Overall

7,6

Pick-up/drop-off

7,0

Value

6,7

Ice Rental Cars

7,5
Good
10 reviews5 locations
Overview

Cleanliness

7,7

Comfort

7,7

Overall

7,5

Pick-up/drop-off

6,8

Value

7,7

Dollar

7,2
Good
20 reviews8 locations
Overview

Cleanliness

8,3

Comfort

7,6

Overall

7,2

Pick-up/drop-off

6,8

Value

7,1

Ice Rental 4x4

6,8
Okay
11 reviews6 locations
Overview

Cleanliness

7,6

Comfort

7,2

Overall

6,8

Pick-up/drop-off

6,6

Value

6,9

Car hire FAQs

Find answers to frequently asked questions about car hires in Iceland, including policies, requirements, and more. FAQs were last updated on 18 June 2025.
  • What is the most popular car hire provider in Iceland?

    When hiring a car in Iceland, the most popular provider of hire cars among Cheapflights users is Alamo, and with prices around R1 640/day, it’s easy to understand why. The most popular car type from Alamo is COMPACT, which starts as low as R1 620/day.

  • What is the cheapest city to get a rental car in Iceland?

    At R1 148/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 R930/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.

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