Best Budget Self Drive Tours in Iceland — Biggest Selection & Lowest Prices Guaranteed

Budget self-drive tours in Iceland are a fantastic way to explore the country while keeping costs low. These tours give you the freedom to discover Iceland’s stunning landscapes at your own pace, without breaking the bank.

To make your journey even easier, each of our budget self-drive packages includes carefully curated affordable accommodations. We've handpicked the best budget-friendly options in each location to save you the hassle of searching and to ensure you always know where the cheapest and most convenient places to stay are.

When you book a self-drive tour with us, you’ll also gain access to the exclusive Guide to Iceland VIP Club. This membership unlocks discounts and perks that help you save even more money on your trip around Iceland, from dining and activities to other travel services. It’s the perfect way to enjoy a cost-effective, seamless, and unforgettable adventure in Iceland.

Choose the Right Self-Drive Tour Package

Budget self-drive tours include essentials like car rental, accommodations, and a detailed itinerary. These packages combine affordability and convenience, making them ideal for travelers looking to explore Iceland independently. Here are the most popular budget self-drive tours:

• 8-Day Self-Drive Tour: Circle of Iceland on a Budget: This tour covers Iceland’s iconic Ring Road, allowing you to explore highlights like the Golden Circle, glacier lagoons, and black sand beaches.

• 8-Day Summer Self-Drive Tour: Slow Pace in the West & South: Perfect for travelers seeking a relaxed journey, this tour lets you enjoy Iceland’s stunning landscapes at a slower pace, with stops in the western region and the South Coast.

• 7-Day Golden Circle and South Coast Road Trip: This week-long tour allows travelers to explore Iceland's Golden Circle, the scenic South Coast, and the diverse landscapes of the West Coast — all the highlights without a high price tag.

• 10-Day Circle of Iceland on a Budget: This comprehensive 10-day journey follows the Ring Road around Iceland, covering major attractions such as the Golden Circle, South Coast waterfalls, Eastfjords, Lake Myvatn, and the Snaefellsnes peninsula. It is designed for budget-conscious travelers looking for an in-depth exploration of the country's diverse landscapes.

• 4-Day Winter Northern Lights Road Trip: Tailored for winter visitors, this four-day tour includes the Golden Circle and South Coast highlights, such as Thingvellir National Park, Geysir, Gullfoss, and Reynisfjara black sand beach. It also offers opportunities to hunt for the northern lights during the long winter nights.

• 14-Day Budget Ring Road Tour of Iceland with Myvatn & the Westfjords: This two-week itinerary covers the entire Ring Road and ventures into the remote Westfjords. Travelers experience a mix of glaciers, fjords, volcanic landscapes, and coastal cliffs, making it a great choice for those who want to see the most of Iceland without paying top dollar.

• 3-Day South Iceland Northern Lights Tour with Ice Caving: This short but immersive winter tour focuses on the South Coast’s stunning landscapes, including waterfalls, black sand beaches, and the Jokulsarlon glacier lagoon. A highlight of the trip is the guided ice caving experience in Vatnajokull glacier, with evenings dedicated to northern lights hunting.

• 5-Day Northern Lights Winter Self-Drive Tour: Over five days, travelers explore the Golden Circle, South Coast attractions, and the breathtaking Jokulsarlon glacier lagoon. The itinerary is designed to maximize chances of seeing the northern lights, with optional activities like ice caving and glacier hiking available.

Maximize Free Natural Attractions

One of the best things about Iceland is that many of its natural wonders are free to visit. Budget self-drive tours often highlight breathtaking spots like Seljalandsfoss and Skogafoss waterfalls, Reynisfjara black sand beach, and Thingvellir National Park. These iconic locations offer unforgettable experiences without requiring an entry fee, making them perfect for travelers on a budget. Note that a small parking fee may be required at certain sites.

Affordable Meet-on-Location Activities to Enhance Your Self-Drive Adventure

While Iceland’s natural wonders are free to explore, adding a few budget-friendly activities can take your self-drive adventure to the next level. Self-drive activities in Iceland are top meet-on-location tours that allow travelers to join exciting experiences without the added cost of transportation. Whether you want to soak in a geothermal hot spring, discover hidden caves, or experience a unique Icelandic wildlife encounter, there are plenty of affordable ways to enhance your trip. These activities provide expert guidance and unique access to some of Iceland’s most incredible sites while keeping costs low.

• Explore Iceland's Last Human Cave Dwelling: Discover the historical lifestyle of Icelanders by visiting the country's last inhabited cave dwelling, offering insights into traditional living conditions and cultural heritage.​
• Rye Bread Tour at a Geothermal Bakery: Experience Icelandic culinary traditions by visiting a geothermal bakery where rye bread is baked underground using natural hot springs, and enjoy tasting this unique delicacy.​
• Puffin and Beluga Sanctuary: Learn about Iceland's seabirds and marine life at this visitor center, which focuses on puffin rescue efforts and features an aquarium showcasing local aquatic species, as well as an outdoor habitat for two rescued beluga whales.
• The Secret Lagoon: Relax in the warm, mineral-rich waters of the Secret Lagoon, one of Iceland's oldest natural geothermal pools, set in a picturesque environment.​
• Lava Center Volcano and Earthquake Exhibition: Explore interactive exhibits on Iceland's volcanic activity and seismic events at the Lava Center, providing an educational insight into the island's dynamic geology.​
• Highland Baths at Kerlingarfjoll: Bathe in the geothermal waters of the Highland Baths, located in the stunning Kerlingarfjoll Nature Reserve, offering a serene hot spring experience amidst rugged landscapes.
• Guided Tour of the Caves of Hella: Delve into Iceland's history with a guided tour of the man-made Caves of Hella, considered some of the country's oldest archaeological remains, shrouded in mystery and folklore.
• Fontana Spa: Enjoy a relaxing experience at Fontana Spa, featuring geothermal baths, natural steam rooms, and scenic views of Lake Laugarvatn, blending wellness with Icelandic nature.
• Family-Friendly Kayaking Tour: Embark on a kayaking adventure suitable for families, navigating the calm waters around Stokkseyri, allowing for exploration at your own pace in a safe environment.

Save on Food While Traveling

Cooking your own meals during a self-drive tour can save a significant amount of money. Stop by grocery stores like Bonus or Kronan to stock up on supplies before hitting the road. Pack snacks for long drives and take advantage of accommodations with kitchen facilities. For more tips, check out our article on shopping for groceries in Iceland.

Plan Fuel Costs Wisely

Fuel can be one of the higher expenses on a self-drive tour, so plan your routes carefully. Choose a fuel-efficient vehicle or electric vehicle as part of your budget self-drive tour package, and refuel in larger towns, where prices are usually lower. You'll find everything you need to know about keeping fuel costs low in our ultimate guide to gas stations in Iceland.

Travel Off-Peak for Lower Prices

Traveling in Iceland’s shoulder seasons, like spring or autumn, can offer significant savings on self-drive tour packages. These seasons not only have fewer tourists but also lower prices for accommodations and car rentals, making it easier to stick to your budget.

By choosing a budget self-drive tour, taking advantage of Iceland’s free attractions, and planning your expenses carefully, you can enjoy an incredible Icelandic adventure without overspending. Start your journey by scrolling up and browsing the top-rated budget self-drive tours in Iceland to suit your budget and needs!