Southern Iceland Vacation Packages
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Your Southern Iceland Vacation
When it's time for a break, book a Southern Iceland vacation package. Get set to experience nightlife, culture, festivals, and much more in this exciting destination. Start your trip to Southern Iceland with some time in Reykjavik visiting popular attractions like Reykjavik Harbour and Laugavegur. Reykjanesbær is another city that lures travellers from far and wide. Blue Lagoon and Viking World Museum are two of the top places to see here. Expedia is a one-stop shop when it comes to planning your Southern Iceland vacation. From flights and hotels, to rental cars and more, we know how to create a travel experience like no other.
Top Southern Iceland Vacation Deals
Price found within the past 48 hours. Click for updated prices.
ICELAND SJF Villa , Hot tub & Outdoor Sauna Amazing Mountains View - 15 min to downtown
Digranes
CA $4,223
per person
Dec 25 - Dec 29
found 1 day ago
Roundtrip flight included
Toronto (YTO) 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 Dec 11, 2025
Urban Reykjavik Studios by Heimaleiga
Háaleiti
CA $1,958
per person
Dec 31 - Jan 7
found 21 hours ago
Roundtrip flight included
Toronto (YTO) to Reykjavik (KEF)
8.2/10 Very good! (172 reviews)
The place was ok for the value.. However the smoke alarm rang they the whole building causing everyone to go outside. Then told "everything was fine" and it happened again over 6 times throughout the night
Then in the morning a security alarm went off. When asking for a partial refund which I think is reasonable considering not much sleeping happened they didn't respond
Would not recommend!
Reviewed on Sep 16, 2026
Tower Suites Reykjavik
Laugardalur
CA $3,180
per person
Dec 25 - Dec 29
found 1 day ago
Roundtrip flight included
Toronto (YTO) to Reykjavik (KEF)
9.6/10 Exceptional! (331 reviews)
This was such a neat experience! Breakfast being included was awesome. Great setup for a big group as there was a middle area to meet up. Views are spectacular. Only complaint was initially accessing the building. But once we were setup, it was great.
Reviewed on Oct 2, 2026
Where to stay in Southern Iceland
Find the best Southern Iceland areas and neighborhoods for the activities you enjoy most. Learn more about Southern Iceland
Downtown Reykjavik
3 out of top 10 points of interest in this area
Home to Iceland's national parliament and vibrant nightlife, Reykjavík City Center boasts landmarks like Tjörnin pond, Hallgrímskirkja, and lively Austurstræti and Bankastræti streets.
Vesturbær
1 out of top 10 points of interest in this area
Mostly residential with a touch of commercial activity at Grandi harbor, this district boasts the University of Iceland and the community-centered Vesturbæjarlaug swimming pool.
Háaleiti
While there might not be top attractions in Háaleiti, you can explore the larger area and discover places like Kringlan Shopping Mall and Laugardalslaug Geothermal Pool.
Laugardalur
Just east of Reykjavík's city center, Laugardalur offers various recreational facilities, including the main stadium. Known as "hot spring valley," it's perfect for travelers seeking leisure activities.
Tún
If you're spending some time in Tún, Laugavegur and Hofdi House are top sights worth seeing.
Ready to book your vacation to Southern Iceland?
Southern Iceland Hotel Deals
Hotel Vík í Mýrdal
Klettsvegur 1-3 Vik I Myrdal
CA $302
CA $348 total
Nov 4 - Nov 5
includes taxes & fees
9.4/10 Exceptional! (1,302 reviews)
"Good"
Reviewed on Oct 10, 2026
CityHub Reykjavik
46 Hverfisgata Reykjavik Reykjavíkurborg
Fully refundableReserve now, pay when you stay
CA $125
CA $150 total
Oct 19 - Oct 20
includes taxes & fees
Fosshotel Glacier Lagoon
Hnappavellir, 785 Öræfi Fagurholsmyri Eastern Region
Fully refundableReserve now, pay when you stay
CA $342
CA $389 total
Nov 1 - Nov 2
includes taxes & fees
9.6/10 Exceptional! (1,061 reviews)
"Room was clean and spacious and free parking"
Reviewed on Oct 10, 2026
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.
Stay near popular Southern Iceland attractions
Reykjavik Harbour
9.2/10 (8,713 reviews)
Once a maritime and fishing precinct, the Old Harbour now buzzes with restaurants, cafés and tour boat operators.
Blue Lagoon
9.4/10 (4,050 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.
Black Sand Beach
9.8/10 (1,665 reviews)
If a restful vacation is part of your travel plans, Black Sand Beach might be the perfect place to seek out during your trip to Vik I Myrdal. While you're here, you can savor the top-notch restaurants.
Hallgrimskirkja
9.2/10 (7,612 reviews)
With its magnificent tower, this church is one of Reykjavík’s most famous landmarks, dominating the skyline and serving as a useful compass point.
Laugavegur
9.4/10 (6,657 reviews)
Brightly colored shopfronts spill into the street and add atmosphere to the sidewalk dining areas and designer stores of Reykjavík’s main downtown shopping strip.
Gullfoss
9.8/10 (564 reviews)
Part of a nature reserve, this waterfall crashing into a deep canyon is among the country’s most iconic features.
Photo by Olivia Fortner
Thingvellir National Park
9.4/10 (4,157 reviews)
See rifts where the earth’s continents are moving apart, visit a lava-strewn lake and learn about the political beginnings of Iceland.
Frequently asked questions
How much does a Southern Iceland vacation package cost?
The most affordable Southern Iceland package is CA $1,858, so your dream trip can become a reality — without breaking the bank. Combine flights, hotels and car rentals to customize a package suited to your travel style.
How do I get a cheap travel package to Southern Iceland?
You'll save a pile of money if you bundle your flights, hotels and car rentals into a Southern Iceland travel package. Sometimes cheap means fewer choices. But not with Expedia. We offer over 550 partner airlines and 1,000,000 properties all over the world, so you'll always have plenty of variety to choose from. Want to save even more? Add some fun activities to your package deal and unlock even bigger discounts! After all, travel is about more than simply getting to your destination.
Where should I stay in Southern Iceland?
You'll have lots to do in Reykjavik, with well-known landmarks like Hallgrimskirkja and Blue Lagoon to explore. Or, if sights like Thingvellir National Park and Geysir Hot Springs are more your style, Bláskógabyggd is the place to head.
What are the top hotels in Southern Iceland?
When it comes to properties in Reykjavik, Center Hotels Plaza and Reykjavik Residence Hotel are among the favorites. If you're also visiting Golden Circle, Hotel Vík í Mýrdal and Courtyard by Marriott Reykjavik Keflavik Airport will make you feel right at home.
How far in advance should I book my Southern Iceland vacation?
While not all air carriers release tickets early, it's usually possible to compare international fares on Expedia up to a year in advance. This is when you can score some fantastic bargains. If you've left things to the last minute, you may still be in luck. Sometimes the cheapest prices appear a few weeks before departure.
What does an Expedia Southern Iceland travel package include?
Hotels, flights and rental cars, or any combination of them — it's your pick! Whether you're visiting Southern Iceland with the whole family or traveling by yourself, there's a package to suit every budget and style. Once you've made your booking, why not add on a few tours as well?
What should I know before booking a Southern Iceland travel package?
Our prices are always low. However, you'll score even better deals if you book your hotels, flights and car rentals together. With an Expedia package, you'll get transparent pricing and a terrific range of choice.
Can I choose my airline with a Southern Iceland Expedia vacation package?
With a vacation package, you're in charge. Whether you'd like to fly to Southern Iceland in business or coach, simply select from the available airline options. Expedia has access to more than 550 airline partners worldwide.
If I'm not able to travel, can I cancel my Southern Iceland vacation package?
You sure can, and we'll help you every step of the way. You may be able to cancel and rebook your Southern Iceland vacation package for free if you booked in the last 24 hours. But you may incur a fee from your airline, hotel or car rental company for older bookings. If your travel plans unexpectedly change, take a look at our Customer Service Portal for more information.
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* Savings based on package bookings compared to the price of the same components booked separately. Savings not available on all packages.
