Iceland Holidays from AU$3,782

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Your Iceland Holiday

Book a holiday package to Iceland and experience travel on your own terms. You'll fall in love with its nightlife, culture and festivals. With so many things to see on a trip to Iceland, it can be tricky to know where to begin. Kick off your travels in Reykjavik at Reykjavik Harbour and Laugavegur — two much-loved attractions here. Another great city to add to your itinerary is Reykjanesbær. Be sure not to miss Blue Lagoon and Viking World Museum. When it's time to stop dreaming and start discovering, Expedia will help turn your Iceland holiday into a reality.

Top destinations in Iceland

Reykjavik
FlightsFlightsHotelsHotels

Reykjavik

Reykjavik

The Latest Iceland Holiday Deals

Price found within the past 48 hours. Click for updated prices.
City Center Hotel

City Center Hotel

3 out of 5
Downtown Reykjavik
per person
2 Sept - 12 Sept
found 16 hours ago
Return flight included
Melbourne (MEL) to Reykjavik (KEF)
9.2/10 Wonderful! (464 reviews)
Lovely boutique hotel. Decor is so fun! Very comfortable beds. Spacious room. Located on a loud street so you’ll likely utilize the disposable earplugs they provide :) Excellent stay.

Reviewed on 17 Jul. 2025

Reykjavik Residence Hotel

Reykjavik Residence Hotel

4 out of 5
Downtown Reykjavik
per person
2 Sept - 12 Sept
found 16 hours ago
Return flight included
Melbourne (MEL) to Reykjavik (KEF)
9.6/10 Exceptional! (2,953 reviews)
Comfortable room, building we've got was in front of the parking garage which was very convenient. Appreciate the hotel sent detailed parking information beforehand!

Reviewed on 18 Jul. 2025

ODDSSON Midtown Hotel

ODDSSON Midtown Hotel

3.5 out of 5
Háaleiti
per person
2 Sept - 12 Sept
found 16 hours ago
Return flight included
Melbourne (MEL) to Reykjavik (KEF)
8.8/10 Excellent! (1,009 reviews)
Great hotel, clean and comfy beds . Great fresh breakfast, nice people .

Reviewed on 17 Jul. 2025

Reykjavik Marina - Berjaya Iceland Hotels

Reykjavik Marina - Berjaya Iceland Hotels

4 out of 5
Vesturbær
per person
2 Sept - 12 Sept
found 16 hours ago
Return flight included
Melbourne (MEL) to Reykjavik (KEF)
9.2/10 Wonderful! (1,006 reviews)
Location near old town, marina Easy to get to airport

Reviewed on 18 Jul. 2025

201 Hotel

201 Hotel

4 out of 5
per person
2 Sept - 12 Sept
found 16 hours ago
Return flight included
Melbourne (MEL) to Reykjavik (REK)
8.6/10 Excellent! (1,010 reviews)
Helpful front desk. Walkable to bus stops.

Reviewed on 18 Jul. 2025

Iceland Holiday

Iceland's windswept fjords, lava fields and black-sand beaches offer endless photo opportunities, while its capital Reykjavik will keep you entertained with hip bars, eateries and nightlife.

Iceland Hotel + Flights

There are 2,639 hotels to choose from with Expedia starting at AU$164 a night. The even better news? If you bundle your flights and hotel with us, you stand to save some serious cash. While you’re at it, you might like to add a rental car and some exciting experiences to your Iceland Holiday Package. Not afraid of the cold? Add a tour of Langjokull Glacier and Ice Cave to your package.

Your Iceland Holiday Itinerary

  • Day 1: Pick up your rental car at Keflavík International Airport. It’s less than an hour’s drive to Reykjavik from here, but you’ll want to allow an extra few hours for a soak at the iconic Blue Lagoon on the way.

  • Day 2: From Reykjavik, head out on a day trip around the Golden Circle. This famous route takes you past some of Iceland’s most mesmerizing sights — Thingvellir National Park, Geysir Hot Spring Area and Gullfoss Falls.

  • Day 3: Explore the coastal town of Vik. With its uninterrupted skies, this is a great spot to view the northern lights. The beautiful basalt beach, Reynisfjara, and the nearby puffin cliffs are also must-sees.

Iceland Information

  • Held each February, the Winter Lights Festival will brighten your nights if you decide to visit at this time of year.

  • There’s lots to see and do in Iceland’s capital. Start planning your time here with ourReykjavik Holiday PackagesOpens in a new window.

Our pick of the best Iceland Hotel Deals

Fosshotel Reykjavik

Fosshotel Reykjavik

4 out of 5
Þórunnartún 1 - Höfðatorg, Reykjavik
Fully refundableReserve now, pay when you stay
The price is AU$556 per night from 31 July to 1 Aug
AU$556
31 July - 1 Aug
includes taxes & fees
9/10 Wonderful! (1,020 reviews)
"Amazing"

Reviewed on 16 Jul. 2025

Fosshotel Reykjavik
CityHub Reykjavik

CityHub Reykjavik

3 out of 5
46 Hverfisgata, Reykjavik, Reykjavíkurborg
Fully refundableReserve now, pay when you stay
The price is AU$164 per night from 21 July to 22 July
AU$164
21 July - 22 July
includes taxes & fees
9/10 Wonderful! (180 reviews)
Iceland holiday
"Everything seemed very clean. Staff were helpful. The room size is not for everyone but it was fine for me. The bed was very comfortable."

Reviewed on 16 Jul. 2025

CityHub Reykjavik
Alda Hotel Reykjavik

Alda Hotel Reykjavik

4 out of 5
Laugavegur 66-68, Reykjavik
Fully refundableReserve now, pay when you stay
The price is AU$578 per night from 3 Aug to 4 Aug
AU$578
3 Aug - 4 Aug
includes taxes & fees
9.2/10 Wonderful! (1,023 reviews)
"Very convenient area for walking, restaurants and shopping. Staff was courteous and friendly."

Reviewed on 16 Jul. 2025

Alda Hotel Reykjavik
See all 2,639 properties in Iceland
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.
All Inclusive Holidays

All Inclusive Holidays

All Inclusive Holidays
Cheap Holidays

Cheap Holidays

Cheap Holidays
beach holidays

Beach Holidays

Beach Holidays

Frequently asked questions

How much does an Iceland holiday package cost?
Our Iceland packages, which begin at just AU$3,782, are an easy way to save. Choose your favourite hotels, flights and more to create your dream escape.
How do I get a cheap travel package to Iceland?
Just think of all the wonderful things you could do in Iceland with extra cash in your wallet. Watch your savings stack up when you bundle your flights, hotels and extras into an Iceland holiday package. You have plenty of choice with Expedia too. In fact, you can pick from over 550 air carriers and 1 000 000 properties around the world. Whether you're enjoying a break with the family or travelling with someone special, organising a trip to Iceland is better with a package.
Where should I stay in Iceland?
It's hard to go past Reykjavik, with well-known attractions such as Hallgrimskirkja and Blue Lagoon to explore. Or, if sights like Thingvellir National Park and Geysir Hot Springs are more your thing, Bláskógabyggd is where you should head.
What are the top hotels in Iceland?
Centre Hotels Plaza and Reykjavik Residence Hotel know how to make their guests feel at home in Reykjavik. If you also plan to explore Golden Circle, take a look at Hotel Vík í Mýrdal and Courtyard by Marriott Reykjavik Keflavik Airport. Both are very popular with travellers.
How far in advance should I book my Iceland holiday?
While not all air carriers release ticket prices early, you can usually compare international fares on Expedia up to a year in advance. This is the time when you can nab some fantastic deals. If you're purchasing tickets last minute, you may still be in luck. Low prices sometimes become available a few weeks prior to departure.
What does an Expedia Iceland travel package include?
Flights, hotels and a cool set of wheels for all your road trip adventures. Simply choose your preferred bundle and gain access to great discounts. Once you've made your booking, add on a few activities and tours and watch your savings grow. When it comes to organising your Iceland holiday, the choice is all yours!
What should I know before booking an Iceland travel package?
When you book your flights, hotels and car rentals together, you'll walk away with great discounts. Whether you're organising an island getaway in a villa or prefer to stay in a ritzy city hotel, Expedia will help make it happen.
Can I choose my airline with an Iceland Expedia holiday package?
With a holiday package, you're in charge. Whether you're eager to fly to Iceland in economy or first class, simply choose from the available airline options. Expedia has access to over 550 airline partners all over the world.
If I'm not able to travel, can I cancel my Iceland holiday package?
We get it — unexpected stuff happens. If you've booked an Iceland holiday package and need to cancel or amend it, we're here to help. We recommend looking up our Customer Service Portal first for information. But in general, if you've booked your package within 24 hours, you may be able to change your itinerary for free. If it's been longer than 24 hours, your airline, hotel or car rental company may impose a fee.

Discover the most popular places to visit in Iceland

Reykjavik Harbour featuring outdoor art, general coastal views and a sunset

Reykjavik Harbour

4.5/5(55 reviews)

Start your stay in Reykjavík with a trip to this antique port district, the point of departure for city tours, boat rides and more.

Reykjavik Harbour
Blue Lagoon which includes a luxury hotel or resort, modern architecture and a hot spring

Blue Lagoon

4.5/5(30 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.

Blue Lagoon
Jokulsarlon Glacier Lagoon

Jokulsarlon Glacier Lagoon

5/5(2 reviews)

Explore the great outdoors at Jokulsarlon Glacier Lagoon, a popular spot to commune with nature in Hofn. Stroll along the seaside or discover the area's glaciers.

Jokulsarlon Glacier Lagoon
* Savings based on package bookings compared to the price of the same components booked separately. Savings not available on all packages.