Top 10 Resorts in Iceland: Luxury, Spa & Northern Lights Stays Guide

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Sudarshona

Updated Date

December 23, 2025

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9 minutes

Top 10 Resorts in Iceland: Luxury, Spa & Northern Lights Stays Guide

Top resorts in Iceland deliver unforgettable stays where luxury meets dramatic natural landscapes. From relaxing in geothermal pools during winter snow to watching the Northern Lights from remote countryside resorts, Iceland tourism offers experiences unlike anywhere else. These resorts are located close to volcanoes, glaciers, lava fields and hot springs, which are meant to be comfortable and yet retain the raw beauty of nature. This Iceland resorts guide can assist in discovering the most suitable alternatives in honeymoons, wellness retreats, family holidays, and Northern Lights travel for a simple, relaxing holiday in 2026.

Why Stay at a Resort in Iceland: Luxury, Wellness & Nature Combined

Most Icelandic resorts are located far from crowded towns, offering uninterrupted views of mountains, lava fields, or fjords.
Relax in geothermal hot tubs and spas, which remain hot all year round, even during winter.
Stay in remote, scenic locations surrounded by glaciers, volcanoes, and lava fields.
Get improved opportunities to observe the Northern Lights away from city light pollution.
Benefit from on-site dining and guided experiences in isolated areas
Experience luxury, wellness, and nature together, not just a place to sleep

Best Luxury & Nature Resorts in Iceland

The Retreat at Blue Lagoon – Iceland’s Most Luxurious Wellness Resort

This is one of the most exclusive wellness resorts in Iceland, which provides direct access to a private geothermal lagoon and world-class spa therapies. The retreat at Blue Lagoon is an Ideal Icelandic resort for honeymooners and luxury travellers seeking privacy and indulgence.

Address: Norðurljósavegur 9, 240 Grindavík, Reykjanes Peninsula, Iceland
Starting Price: ₹1,25,000 per night (approx., for 2 adults)

Amenities:

Private geothermal lagoon access
Luxury spa & wellness centre
In-room lagoon views
24-hour concierge
Airport transfers on request

ION Adventure Hotel – Design Hotel Near the Golden Circle

This resort is situated amidst lava fields within the Golden Circle, incorporating both Scandinavian design and the bare Icelandic scenery. Perfect Northern Lights sightseeing and a brief luxurious stay in the neighbourhood of Reykjavik. This is a must-add location to an Iceland itinerary, especially for travellers arriving or departing via Reykjavík.

Address: Nesjavellir við Þingvallavatn, 801 Selfoss, Golden Circle, Iceland
Starting Price: ₹55,000 per night (approx.)

Amenities:

Outdoor geothermal hot tub
Northern Lights wake-up service
Fine-dining restaurant & bar
Floor-to-ceiling landscape views
Guided adventure tours
Free parking

Deplar Farm – Ultra-Luxury All-Inclusive Resort in North Iceland

This is one of the most exclusive resorts in Iceland, found in a remote mountain valley. It is also ideal with high-end travellers and personalised experiences, including meals and adventure activities in Iceland.

Address: Fljót, Tröllaskagi Peninsula, North Iceland
Starting Price: ₹2,00,000+ per night (all-inclusive experience)

Amenities:

Private geothermal spa & indoor pool
Heli-skiing & guided adventures
Personal chef & tailored dining
Yoga studio & fitness centre
Outdoor hot tubs
Private transfers & concierge

Best Budget-Friendly Resorts & Lodges in Iceland

Fosshotel Mývatn – Scenic Budget Resort Near Volcanic Landscapes

Fosshotel Myvatn provides good value without any compromise in terms of scenery. It overlooks Lake Myvatn, putting you near volcanic craters, lava fields and geothermal areas.

Address: Reynihlíð, 660 Mývatn, North Iceland
Starting Price: ₹32,000 per night (approx.)

Amenities:

Lake-view rooms
Sauna & wellness area
On-site restaurant
Free Wi-Fi & parking
Easy access to natural attractions

Hotel Laxá – Affordable Countryside Stay for Northern Lights

Hotel Laxa is among the most affordable resorts in Iceland that offers its visitors serene stays in the countryside. It is also an excellent site to view the Northern Lights without any luxury cost when there is minimal light pollution.

Address: Þingeyjarsveit, Lake Mývatn, North Iceland
Starting Price: ₹28,000 per night (approx.)

Amenities:

Quiet countryside setting
Restaurant with local cuisine
Free parking
Family rooms available
Northern Lights visibility

Best Family-Friendly Resorts in Iceland

Stracta Hotel – Family Resort With Geothermal Hot Tubs

Stracta Hotel is a safe place for comfort at a fair price with geothermal hot tubs. Its position in South Iceland is convenient when it comes to visiting waterfalls, glaciers and volcanoes.

Address: Rangárflatir 4, 850 Hella, South Iceland
Starting Price: ₹25,000 per night (approx.)

Amenities:

Geothermal outdoor hot tubs
On-site restaurant & bar
Free parking & Wi-Fi
Family rooms available

Hótel Kría – Modern Family Hotel Near Vík & Black Sand Beaches

The hotel is situated close to the well-known black sand beaches of Viking that make it a great destination in South Iceland for families. It provides contemporary comfort, convenient strolls into town and closeness to child-friendly nature. This is a must-add resort to your Iceland family packages.

Address: Sléttuvegur 12–14, 870 Vík, South Iceland
Starting Price: ₹35,000 per night (approx.)

Amenities:

Modern family rooms
On-site restaurant
Free parking
Elevator & accessibility features
Close to Reynisfjara Beach

Hotel Katla – Spacious Family Resort Near Glaciers & Volcanoes

Close to glaciers and black sand beaches, Hotel Katla is a strong family option for South Iceland itineraries. It offers space, safety, and easy access to major attractions in Iceland.

Address: Höfðabrekka, 871 Vík, South Iceland
Starting Price: ₹33,000 per night (approx.)

Amenities:

Indoor geothermal pool
Sauna & hot tubs
Family-friendly rooms
Restaurant
Free parking

Best Northern Lights Resorts in Iceland

Hotel Rangá – Top Aurora Resort With Observatory & Wake-Up Calls

Hotel Rangan is considered to be among the best resorts in Iceland for the aurora hunters. It has one of the most consistent places in Iceland to view the Northern Lights, owing to its geographic remoteness, professional observatory and wake-up alerts.

Address: Suðurlandsvegur, 851 Hella, South Iceland
Starting Price: ₹45,000 per night (approx.)

Amenities:

Aurora wake-up calls
Astronomical observatory
Outdoor hot tubs
Guided Northern Lights tours
On-site fine dining

Bubble Hotel – Unique Glass Dome Stay for Northern Lights Viewing

Bubble Hotel offers transparent dome stays designed specifically for Northern Lights viewing. Sleeping under the stars (and aurora) makes this one of Iceland’s most unique experiences. One of the most reliable places for Northern Lights in Iceland, especially between November and March.

Address: Secret countryside locations, South Iceland
Starting Price: ₹70,000 per night (approx.)

Amenities:

Transparent heated domes
Remote aurora-viewing locations
Comfortable beds & heating
Minimal light pollution
Curated arrival instructions

Top Resorts in Iceland: Price & Ideal For Comparison

Hotel	Starting Price (INR / night)	Ideal For
The Retreat at Blue Lagoon	₹1,25,000	Couples, Honeymooners, Luxury wellness
ION Adventure Hotel	₹55,000	Couples, Northern Lights, Short luxury stays
Deplar Farm	₹2,00,000+	Ultra-luxury travellers, Private groups
Fosshotel Myvatn	₹32,000	Budget travellers, Nature lovers
Hotel Laxá	₹28,000	Budget stays, Northern Lights seekers
Stracta Hotel	₹25,000	Families, Road-trip travellers
Hótel Kría	₹35,000	Families, South Iceland sightseeing
Hotel Katla	₹33,000	Families, Glaciers & beaches
Hotel Rangá	₹45,000	Northern Lights, Couples & families
Buubble Hotel	₹70,000	Couples, Northern Lights experience

Where to Stay in Iceland: Best Resort Locations

Near Reykjavík: Perfect in half a day and for first-time visitors. Accessibility to all the airports and closeness to cultural attractions.
South Coast: Ideal in terms of waterfalls, glaciers, and black sand beaches. Most of the resorts here are strategically located to view the Northern Lights.
Golden Circle: This is an excellent place to be based to be able to access iconic sights such as national parks and geysers, and road connectivity is excellent.
North Iceland: Quieter and more remote, offering dramatic landscapes and fewer crowds, ideal for longer stays.
Highlands: For experienced travellers seeking extreme isolation and untouched wilderness, accessible mainly in summer.

Best Time to Stay at Resorts in Iceland: Season-Wise Guide

The best time to visit Iceland resorts is based on the type of experience that you desire, such as endless daylight, Northern Lights, or fewer people.

Season	Months	Weather	Crowd	Ideal For
Summer	June – August	Mild weather, midnight sun	High	Hiking, scenic road trips, and first-time visitors
Winter	November – March	Snowy, cold, dark skies	Low–Moderate	Northern Lights, spa & geothermal stays
Shoulder Seasons	April–May & Sept–Oct	Cool, mixed weather	Low	Budget travel, fewer crowds, photography

Tips: Prices rise sharply during summer and peak winter months, so booking early is essential.

How to Reach Resorts in Iceland: Flights, Car Rentals & Transfers

Reaching resorts in Iceland is straightforward with a little planning, as most travellers enter through Reykjavík and then continue by road or arranged transfers.

By air: Most international flights land at Keflavík International Airport near Reykjavík.
By car: Renting a car is the most flexible way to reach countryside resorts, especially along the South Coast, Golden Circle, and North Iceland.
Hotel transfers: Luxury and remote resorts often provide private transfers on request.

Tip: Always check road conditions and weather forecasts, particularly in winter, before travelling to remote resorts.

Tips for Booking Resorts in Iceland

Book early: Popular resorts sell out fast, especially in summer and winter—reserve 3–6 months ahead.
Choose location carefully: Countryside resorts are best for Northern Lights; areas near Reykjavík suit short stays.
Check seasonal pricing: Rates rise during peak months, so compare shoulder-season deals.
Confirm amenities: Ensure geothermal pools, dining options, and parking are included.
Plan transport: Some remote resorts require a car or pre-arranged transfers.

Resorts vs Hotels in Iceland: Which Is Better for Your Trip?

Factor	Resorts	Hotels
Location	Countryside, nature-rich	Cities & towns
Experience	Relaxation, spa, scenery	Convenience & sightseeing
Northern Lights	Higher chances	Limited in cities
Best For	Couples, wellness, nature	Budget, short stays

Final Thoughts: How to Choose the Best Resort in Iceland 2026?

By selecting the appropriate resorts in Iceland, you can make your visit more of an experience than a sightseeing holiday. From enjoying Northern Lights in utter silence to relaxing in geothermal pools, the right resort gives your trip warmth, cosiness, and sense. Whether you’re travelling as a couple, family, or nature lover, choosing well makes all the difference. To plan effortlessly, book Iceland tour packages from Pickyourtrail and enjoy a worry-free Iceland escape.