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Iceland

Cheap Car Rentals in Iceland from AED 149

This price is the cheapest per day rate found by a Cheapflights user in the last 48 hours by searching for a car hire in Iceland with a pick-up date of 28/9 and drop-off date of 4/10. Fares are subject to change and may not be available at all agencies or on all dates of hire. Click the price to replicate the search for this deal.
Driver's age: 25-65
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Iceland car rentals in 2026

Get helpful information to start your search for the perfect car rental in Iceland. The average price data is based on the last 12 months and was last updated on 10 August 2026.

Most popular company

Ice Rental 4x4

Most common car type

Premium

Average price per day

AED 289

Cheapest price per day

AED 149
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Popular car types in Iceland

Explore the most popular car models available for rent in Iceland and choose the one that suits your needs. The price data is sourced from various car rental companies and was last updated on 10 August 2026.
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At AED 149/day, small car is the cheapest car type available for hire in Iceland in the past week. Out of 77 car hire agencies operating in Iceland, there are, in total, 277 hire locations. View below for 2 offered car types:

Economy

Economy

AED 180+

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Full-size SUV

Full-size SUV

AED 817+

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Mini

Mini

AED 149+

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Compact SUV

Compact SUV

AED 241+

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Intermediate estate car

Intermediate estate car

AED 263+

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Intermediate SUV

Intermediate SUV

AED 315+

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Standard SUV

Standard SUV

AED 435+

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Best car rental deals found in Iceland

Browse through a selection of recently found affordable car rental deals in Iceland. Plan your trip with ease and find the perfect rental option for your needs. There are currently 8 rental car agencies in Iceland with an average daily rate of AED 337. Data was last updated on 10 August 2026.
Nissan MicraAED 149/day
Nissan Micra
Found 08/09/26
Suzuki BalenoAED 180/day
Suzuki Baleno
Found 08/09/26
Suzuki SwiftAED 223/day
Suzuki Swift
Found 08/09/26

Cheapflights insights for Iceland car rentals

Get relevant, data-driven information to help you hire a car in Iceland, including pricing trends, ideal booking times, and more.

How far in advance should I hire a car in Iceland?

For the best savings on car hire in Iceland, make your reservation 49 days before pickup. The average price then is just AED 184/day – about 224% less than the yearly average.

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What is the cheapest car hire company in Iceland?

City Car Rental is currently the cheapest car hire company in Iceland with deals as low as AED 42.71/day found in the past two weeks. Ice Rental 4x4 is another inexpensive option with rates as low as AED 48.54/day.

What is the cheapest month to rent a car in Iceland?

The cheapest month to hire a car in Iceland is January, when you can expect to pay AED 143/day on average. The most expensive month to hire a car in Iceland is August (AED 371/day on average). The average daily car hire price for each month is shown below. Keep in mind that prices will vary based on availability, when you book, and the type of car you hire.

January

AED 143

February

AED 154

March

AED 165

April

AED 173

May

AED 195

June

AED 250

July

AED 349

August

AED 371

September

AED 209

October

AED 176

November

AED 147

December

AED 154

Which car hire company has the most locations in Iceland?

Avis has 8 locations throughout the area, more than any other company. NextCar has the second-highest number of locations in Iceland at 1.

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Top rental agencies in Iceland

Explore the leading car rental agencies in Iceland known for their outstanding service and extensive range of vehicles to choose from. There are currently 8 car rental companies in Iceland. Reviews were last updated on 10 August 2026.

Avis

9.2
Wonderful
1 review•8 locations
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Overview

Cleanliness

9.6

Comfort

8.8

Overall

9.2

Pick-up/drop-off

9.2

Value

7.6

Routes Car & Truck Rentals

5.7
Fair
11 reviews•1 location
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Overview

Cleanliness

6.7

Comfort

5.4

Overall

5.7

Pick-up/drop-off

5.1

Value

6.1

Go Rentals

1 location
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NextCar

1 location
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National

3 locations
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Rhodium

1 location
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RAS Car Rental

4 locations
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Fara Car Rental

2 locations
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Car rental FAQs

Find answers to frequently asked questions about car rentals in Iceland, including policies, requirements, and more. FAQs were last updated on 10 August 2026.

  • What is the most popular car hire provider in Iceland?

    With an average price of AED 211/day, Firefly is the most popular car hire provider in Iceland, booking 94% more hire cars than any other provider.

  • What is the cheapest city to get a rental car in Iceland?

    When visiting Iceland, it is typically cheapest to rent your car in Reykjavik where rental cars typically will cost around AED 309/day (14% less than the country average). The absolute cheapest rental car price in Iceland was found in Reykjavik for just AED 171/day.

  • What side of the road do you drive on in Iceland?

    In Iceland, drivers are expected to drive on the right side of the road.

Car rentals by fuel type in Iceland

Browse car rentals by fuel type in Iceland. Currently, Petrol/Diesel cars are the cheapest to rent in Iceland. Deals were last updated on 10 August 2026.
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Browse through car rental deals by fuel type in Iceland. There are currently 3 fuel types to choose from with Petrol/Diesel being the cheapest (AED 47+).

Electric

Electric

AED 61+

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Hybrid

Hybrid

AED 49+

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Petrol/Diesel

Petrol/Diesel

AED 47+

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Browse thousands of different options on Cheapflights for your next trip

Toggle through the tabs below to find thousands of options on Cheapflights for your next trip.

Airport car hires in Iceland

Hire a car at one of these airports in the Iceland area
Reykjavik Keflavik Intl Airport car rentals
Akureyri Airport car rentals
Reykjavik Domestic Airport car rentals

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