Cheap Car Rentals in Iceland from AED 129
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 1/11 and drop-off date of 10/11. 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.
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 6 October 2026.
Most popular company | Ice Rental 4x4 |
|---|---|
Most common car type | Full-size |
Average price per day | AED 357 |
Cheapest price per day | AED 129 |
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 6 October 2026.
At AED 129/day, small car is the cheapest car type available for hire in Iceland in the past week. Out of 78 car hire agencies operating in Iceland, there are, in total, 278 hire locations. View below for 2 offered car types:
Economy
AED 142+
Compact
AED 159+
Full-size SUV
AED 510+
Mini
AED 129+
Compact SUV
AED 156+
Intermediate estate car
AED 205+
Compact estate car
AED 216+
Intermediate SUV
AED 230+
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 214. Data was last updated on 6 October 2026.
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 7 days before pickup. The average price then is just AED 180/day – about 206% less than the yearly average.
What is the cheapest car hire company in Iceland?
FLIZZR is currently the cheapest car hire company in Iceland with deals as low as AED 28.00/day found in the past two weeks. RAS Car Rental is another inexpensive option with rates as low as AED 35.59/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 147/day on average. The most expensive month to hire a car in Iceland is August (AED 386/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 147
February
AED 154
March
AED 165
April
AED 173
May
AED 195
June
AED 253
July
AED 353
August
AED 386
September
AED 228
October
AED 198
November
AED 162
December
AED 162
What car do most people hire in Iceland?
Passenger van cars (Volkswagen Multivan or similar) are the most popular option for those visiting Iceland. SUV cars (Tesla Model Y or similar) are also a popular choice, followed by Economy cars (Dacia Sandero or similar).
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.
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 6 October 2026.
Avis
Overview
Cleanliness
Comfort
Overall
Pick-up/drop-off
Value
Avis Locations in Iceland
Routes Car & Truck Rentals
Overview
Cleanliness
Comfort
Overall
Pick-up/drop-off
Value
Recent reviews
Routes Car & Truck Rentals Locations in Iceland
Go Rentals
Go Rentals Locations in Iceland
NextCar
NextCar Locations in Iceland
National
National Locations in Iceland
Rhodium
Rhodium Locations in Iceland
RAS Car Rental
RAS Car Rental Locations in Iceland
Fara Car Rental
Fara Car Rental Locations in Iceland
Car rental FAQs
Find answers to frequently asked questions about car rentals in Iceland, including policies, requirements, and more. FAQs were last updated on 6 October 2026.
What is the most popular car hire provider in Iceland?
With an average price of AED 705/day, Hertz is the most popular car hire provider in Iceland, booking 331% 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 339/day (0% less than the country average). The absolute cheapest rental car price in Iceland was found in Reykjavik for just AED 159/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 6 October 2026.
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 35+).
Electric
AED 48+
Hybrid
AED 38+
Petrol/Diesel
AED 35+