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Car rental in Keflavik - Search, Compare, and Save

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4.67/5

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Cheapest Car Hire Rates in Keflavik

Keflavik

Mini

Fiat 500 or similar

4

1

3

A/C

Auto

GreenMotion

24

per day

Keflavik

Economy

Toyota Yaris or similar

5

2

5

A/C

Auto

GreenMotion

29

per day

Keflavik

Compact

Volkswagen Golf or similar

5

3

5

A/C

Auto

GreenMotion

33

per day

Keflavik

Intermediate

Skoda Octavia or similar

5

4

5

A/C

Auto

GreenMotion

39

per day

The average cost of car hire is €34 per day, with 1,878 vehicles available and an average hire duration of 6 days.

Why Rent a Car in Keflavik?

Keflavik is the gateway to Iceland, with its international airport serving as the main entry point. While airport transfers are available, renting a car offers unparalleled freedom to explore the Reykjanes Peninsula and beyond.

Explore the Reykjanes Peninsula. Renting a car allows you to discover the unique landscapes of the Reykjanes Peninsula, including geothermal areas, lava fields, and dramatic coastlines, all at your own pace.

Convenience After a Long Flight. Instead of waiting for buses or taxis, you can pick up your rental car directly at Keflavik Airport and start your Icelandic adventure immediately.

Access to Remote Locations. Many of Iceland's most stunning natural attractions are located off the beaten path. A rental car provides the means to reach these remote areas, where public transport is limited or non-existent.

Rental Terms and Conditions in Keflavik

Before booking a rental car in Keflavik, be aware of the following essential terms and conditions.

Area

Approximately 25 square kilometres (9.7 square miles)

Population

Around 18,000 residents

Time Zone

GMT (UTC+0)

Ideal for

Exploring Reykjanes Peninsula

Rush Hours

Limited rush hour traffic

Rating

4.5/5

1. Age RequirementsMost car rental companies in Keflavik require drivers to be at least 20 years old. However, drivers under 25 may be subject to a young driver surcharge.

2. Driver’s License & DocumentationA valid driver’s licence is required. Licences from EU/EEA countries are accepted. Other nationalities may need an International Driving Permit (IDP) along with their original licence.

3. Insurance & DepositsA security deposit is usually required and held on a credit card. Standard rentals include basic insurance, but additional coverage options like Collision Damage Waiver (CDW) and Super Collision Damage Waiver (SCDW) are available.

4. Mileage & Fuel PolicyUnlimited mileage is often included. Fuel policies vary, but full-to-full is common, requiring you to return the car with a full tank to avoid extra charges.

5. Gravel ProtectionGiven Iceland’s gravel roads, consider gravel protection insurance to cover damage to the vehicle’s paint, headlights, and windows.

Car Rental Prices in Keflavik – How Much Does It Cost?

Estimated Daily Prices

Business:

from £40 / $50 / €45 per day

Electric:

from £35 / $44 / €40 per day

Classic:

from £25 / $31 / €28 per day

Executive:

from £50 / $63 / €58 per day

7 Seater:

from £60 / $75 / €70 per day

Automatic:

from £30 / $38 / €34 per day

SUV:

from £35 / $44 / €40 per day

Seasonal Trends

Peak season (June to August): Higher demand, with prices increasing by 20-30%

Low season (November to February): Discounts and lower rates are often available

Additional costs may apply for insurance, extra drivers, and one-way rentals. Booking early and comparing offers can help secure the best deal.

How to Book a Car in Keflavik?

To book a car in Keflavik, follow these steps to ensure a smooth and hassle-free experience.

1. Compare Prices - Use comparison websites to find the best deals from various rental companies.

2. Choose the Right Car - Select a vehicle that suits your travel needs, considering Iceland's diverse terrains and weather conditions.

3. Check Rental Terms - Review the mileage limits, insurance coverage, and deposit requirements to avoid any surprises.

4. Book in Advance - Secure better prices and vehicle availability by booking your rental car well in advance, especially during peak seasons.

5. Pick Up Your Car - Bring your driver’s licence, credit card, and passport when collecting your rental vehicle.

General Information About Keflavik

Keflavik is a town in southwestern Iceland, known primarily for hosting Iceland's largest international airport.

As the location of Iceland’s main airport, Keflavik serves as the starting point for many travellers exploring the country. While Keflavik itself offers some attractions, having a car allows you to quickly access the diverse landscapes and destinations across the Reykjanes Peninsula and beyond. However, driving in Iceland requires awareness of local traffic laws, weather conditions, and road types to ensure a safe and enjoyable experience.

Top Attractions to Discover

  • Reykjanes Peninsula

    Explore geothermal areas, lava fields, and dramatic coastlines.

  • Blue Lagoon

    Visit the world-famous geothermal spa.

  • Bridge Between Continents

    Walk across the symbolic bridge spanning the Eurasian and North American tectonic plates.

Where to Find Parking

  • Keflavik Airport

    Ample parking is available at the airport, both short-term and long-term.

  • Town Centre

    Parking is generally available in the town centre, with some metered spots.

  • Attractions

    Most attractions offer dedicated parking areas for visitors.

Gas Stations in Keflavik

  • Airport Area

    Several gas stations are located near Keflavik Airport.

  • Town Centre

    Fuel stations are available within the town of Keflavik.

  • Major Brands

    Look for brands like Olís, N1, and Orkan.

Useful Tips for Visiting Keflavik

  • Check Weather Conditions

    Stay updated on weather forecasts, as conditions can change rapidly in Iceland.

  • Drive Carefully on Gravel Roads

    Reduce speed and maintain control on gravel roads.

  • Respect Speed Limits

    Adhere to posted speed limits to avoid fines.

  • Be Aware of Wildlife

    Watch out for sheep and other animals crossing the road, especially in rural areas.

Key Transportation Hubs in Keflavik

Airports

Keflavik International Airport (KEF)

The primary airport in Iceland, serving international flights.

Bus Stations

Keflavik Airport Bus Stop

Serves various bus routes connecting the airport to Reykjavik and other destinations.

What Do You Need to Rent a Car in Keflavik?

To rent a car in Keflavik, you’ll need to meet a few essential requirements.

  • A valid driver's licence is required. International visitors may need an International Driving Permit (IDP) along with their original licence.

  • Most rental companies require drivers to be at least 20 years old, with potential surcharges for those under 25.

  • A credit or debit card in the main driver’s name is needed for the security deposit.

  • A passport or other form of official identification may be required.

Our Content Quality

This content was written

This content was written, fact-checked, and/or translated by our expert team of content creators.

Every piece of information on this page has gone through our Content Quality Assurance (CQA) process — a multi-step review that includes human editing, localisation accuracy checks, and expert travel validation.

Learn more about our Content Quality Standards

This page was edited by experts

This page was edited, fact-checked, and/or translated by our experts who are passionate about helping travellers experience the world by car. Our team of seasoned travel writers and editors has driven across more than 50 countries, hired cars on six continents, and explored countless scenic routes — from Icelandic fjords to Moroccan deserts.

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Our Customer Reviews

Our clients rate such place as Keflavik as

4.5

To ensure every review is from a real customer, we do not allow reviews to be posted directly on this page. Instead, we invite every customer to leave a review after they have returned their hire car. This way, you can be sure that all reviews are authentic.

Keflavík was amazing! Getting a car was a breeze, and exploring the area was so easy and fun. Highly recommend!

SM

Sarah Miller

Reviewed: 03.10.2024

Keflavik exceeded expectations! Renting a car made exploring the peninsula simple, and catching up with friends was effortless. The airport's cafe was a bit overpriced though.

DL

David Lee

Reviewed: 31.08.2024

Exploring Keflavik by car was incredibly liberating! So much beauty, so easily accessible.

AJ

Amelia Jones

Reviewed: 21.03.2025

Pretty chill, eh?

CB

Chloe Brown

Reviewed: 01.09.2024

Back in Keflavik after years, and it's even better! So convenient having a car to explore.

TG

Thomas Garcia

Reviewed: 30.10.2024

Heard great things about Keflavik, and they were right! Having a car made everything so easy; exploring the area was a dream.

JW

Jessica Wilson

Reviewed: 14.06.2025

Pretty low-key, tbh

BD

Brian Davis

Reviewed: 23.07.2025

Keflavik was stunning! Having a car made exploring so much easier, and the scenery was breathtaking.

OR

Olivia Rodriguez

Reviewed: 17.10.2024

First trip to Keflavik, and it was fantastic! Exploring with a car was so convenient and rewarding.

EC

Ethan Carter

Reviewed: 23.11.2024

Keflavik surprised me! Having a car made sightseeing so effortless; the landscapes were incredible.

AM

Ava Martinez

Reviewed: 03.11.2024

Keflavik was scenic, but the airport cafe was underwhelming. Having a car made exploring easy though!

MS

Maya Sharma

Reviewed: 16.10.2024

Keflavik was a quick stop on our road trip, and renting a car made it easy. The Blue Lagoon was fantastic, though the airport's gift shop felt overpriced.

BH

Benjamin Harris

Reviewed: 15.08.2025

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